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INCOTERMS

INCOTERMS

```html INCOTERMS 2020 Section

International rules published by the International Chamber of Commerce (ICC) that define the obligations of buyers and sellers in foreign trade. Find out who pays for transport, insurance, duties, and when risk is transferred.

Seller's responsibility scale (lowest → highest)

Departure (E) Main carriage unpaid (F) Main carriage paid (C) Arrival (D)
Group E Any mode
EXW
Ex Works

The seller makes the goods available at their own premises. The buyer assumes all costs and risks from that point onward.

Key responsibility Buyer: loading, export clearance, main carriage, insurance, and import.
Group F Any mode
FCA
Free Carrier

The seller delivers the goods to the carrier nominated by the buyer at the agreed place. Ideal for containerized cargo.

Key responsibility Seller: export formalities. Buyer: main carriage, insurance, and import.
Group C Any mode
CPT
Carriage Paid To

The seller contracts and pays for the main carriage to the agreed destination, but risk transfers when the goods are handed over to the first carrier.

Key responsibility Seller: main carriage. Buyer: insurance (not the seller's obligation).
Group C Any mode
CIP
Carriage and Insurance Paid To

Same as CPT, but the seller also arranges insurance. Since 2020: minimum coverage is Clause A (maximum protection).

Key responsibility Seller: main carriage + full-coverage insurance (All Risks).
Group D Any mode
DAP
Delivered at Place

The seller delivers the goods at the agreed destination, ready for unloading. It does not cover unloading or import duties.

Key responsibility Seller: assumes all risks up to the destination. Buyer: unloading, duties, and VAT.
Group D Any mode
DPU
Delivered at Place Unloaded

Previously DAT. The seller delivers and unloads the goods at the agreed place of destination. Does not pay import duties.

Key responsibility Seller: transport and unloading at destination. Buyer: import customs clearance.
Group D Any mode
DDP
Delivered Duty Paid

Maximum obligation for the seller. Delivers the goods at destination, paying all costs, risks, duties, and import taxes.

Key responsibility Seller: all-inclusive. Buyer simply receives the goods.
Group F Maritime
FAS
Free Alongside Ship

The seller delivers the goods alongside the vessel at the agreed port of shipment. From that point, the buyer assumes costs and risks.

Key responsibility Seller: internal transport and delivery alongside the vessel. Buyer: loading, freight, and insurance.
Group F Maritime
FOB
Free On Board

The seller delivers the goods on board the vessel at the port of loading. Risk transfers once the goods pass the ship's rail.

Key responsibility Seller: loading on board. Buyer: ocean freight, insurance, and unloading.
Group C Maritime
CFR
Cost and Freight

The seller pays the main carriage to the destination port, but risk transfers when the goods pass the ship's rail at the port of origin.

Key responsibility Seller: freight to destination. Buyer: risk during transit and insurance (if desired).
Group C Maritime
CIF
Cost, Insurance and Freight

Same as CFR, but the seller arranges minimum insurance (Clause C / FPA) on behalf of the buyer. Risk is still transferred at the ship's rail at the port of loading.

Key responsibility Seller: freight + minimum insurance. Buyer: risk of loss during transit.

📋 Responsibility Comparison Table

Incoterm Group Mode Export customs Main carriage Insurance Import customs Destination unloading
EXWEAnyBuyerBuyerBuyerBuyerBuyer
FCAFAnySellerBuyerBuyerBuyerBuyer
CPTCAnySellerSellerBuyerBuyerBuyer
CIPCAnySellerSellerSeller (max.)BuyerBuyer
DAPDAnySellerSellerSellerBuyerBuyer
DPUDAnySellerSellerSellerBuyerSeller
DDPDAnySellerSellerSellerSellerBuyer*
FASFMaritimeSellerBuyerBuyerBuyerBuyer
FOBFMaritimeSellerBuyerBuyerBuyerBuyer
CFRCMaritimeSellerSellerBuyerBuyerBuyer
CIFCMaritimeSellerSellerSeller (min.)BuyerBuyer

* Under DDP, the seller may need the buyer's cooperation for import formalities if the country does not allow foreign parties to process customs. According to ICC 2020 rules, the theoretical responsibility lies with the seller.

⚠️ Key INCOTERMS Notes

  • DPU replaces DAT: In the 2020 edition, DAT was removed and replaced by DPU, expanding the option for unloaded delivery to any mode of transport, not just terminals.
  • Insurance — CIP vs CIF: CIP now requires maximum coverage (Clause A / All Risks), while CIF maintains minimum insurance (Clause C). This better reflects the buyer's needs in multimodal transport.
  • FCA and letters of credit: The 2020 edition allows the buyer to instruct the seller to have the carrier issue a Bill of Lading to the seller, facilitating payment under L/C.
  • Security: All terms now explicitly include security obligations in the logistics chain (verification costs and information requirements).
``` Listo. ¿Siguiente?

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Actualizado: May 2026