Tools

EXW — Ex Works

The seller makes the goods available to the buyer at the named place, without loading them on the collecting vehicle. From that point, the buyer bears the corresponding transport costs and risks.

FCA — Free Carrier

The seller delivers the goods to the carrier or other person nominated by the buyer at the named place and clears them for export when required. The precise named point determines when risk transfers.

CPT — Carriage Paid To

The seller delivers the goods to the carrier and pays the carriage to the named destination. Risk transfers to the buyer when the goods are delivered to the carrier, not when they reach the destination.

CIP — Carriage and Insurance Paid To

This works like CPT, but the seller also obtains the insurance cover required by the rule to the named destination. Risk transfers when the goods are delivered to the carrier.

DAP — Delivered at Place

The seller delivers the goods at the named destination on the arriving means of transport, ready for unloading. The seller bears the risks up to that point; unloading is for the buyer.

DPU — Delivered at Place Unloaded

The seller delivers the goods after unloading them from the arriving means of transport and placing them at the buyer’s disposal at the named place. The seller bears the risk through unloading.

DDP — Delivered Duty Paid

The seller delivers the goods at the named destination, cleared for import and ready for unloading, bearing the costs and risks required by the rule, including applicable import duties.

Note on CNF

CNF is an informal expression sometimes used as an equivalent of CFR, but it is not one of the eleven Incoterms® 2020 rules. This guide is for information only and is not legal, customs or tax advice.