Rules for Any Mode(s) of Transport

EXW – Ex-Works (named place of delivery)

The seller makes the goods available at its premises.
This term places the maximum obligation on the buyer and minimum obligations on the seller.
EXW means that a seller has the goods ready for collection at his premises (works, factory, warehouse, plant) on the date agreed upon.
The buyer pays all transportation costs and also bears the risks for bringing the goods to their final destination.
The seller doesn’t load the goods on collecting vehicles and doesn’t clear them for export.
If the seller does load the good, he does so at buyer’s risk and cost.
If parties wish seller to be responsible for the loading of the goods on departure and to bear the risk and all costs of such loading, this must be made clear by adding explicit wording to this effect in the contract of sale.

FCA – Free Carrier (named place of delivery)

“Free Carrier” means that the seller delivers the goods to the carrier or another person nominated by the buyer at the seller’s premises or another named place.

The parties are well advised to specify as clearly as possible the point within the named place of delivery, as the risk passes to the buyer at that point.
The seller hands over the goods, cleared for export, into the disposal of the first carrier (named by the buyer) at the named place.
The seller pays for carriage to the named point of delivery, and risk passes when the goods are handed over to the first carrier.

CPT – Carriage Paid To (named place of destination)

Carriage Paid To” means that the seller delivers the goods to the carrier or another person nominated by the seller at an agreed place (if any such place is agreed between parties) and that the seller must contract for and pay the costs of carriage necessary to bring the goods to the named place of destination.

CIP – Carriage and Insurance Paid to (named place of destination)

This is the containerized transport/multimodal equivalent of CIF.
Seller pays for carriage and insurance to the named destination point, but risk passes when the goods are handed over to the first carrier.

DPU – Delivered At Place Unloaded

“Delivered at Place Unloaded” “or DPU, can be used for any mode of transport.

The seller delivers the goods and transfers the risk to the buyer when goods once unloaded from the arriving means of transport are placed at the disposal of the buyer at a named destination at the agreed point within that place.
The seller bears all risks involved in bringing the goods to and unloading them at the named place of destination.
Therefore, the delivery and arrival at the destination are the same.

DAP – Delivered at Place (named place of destination)

The seller delivers when the goods are placed at the disposal of the buyer on the arriving means of transport ready for unloading at the named place of destination.
The seller bears all risks involved in bringing the goods to the named place.
Seller pays for carriage to the named place, except for costs related to import clearance, and assumes all risks prior to the point that the goods are ready for unloading by the buyer.

DDP – Delivered Duty Paid (named place of destination)

The seller delivers the goods when the goods are placed at the disposal of the buyer, cleared for import on the arriving means of transport ready for unloading at the named place of destination.
The seller bears all the costs and risks involved in bringing the goods to the place of destination.
They must clear the products not only for export but also for import, to pay any duty for both export and import and to carry out all customs formalities.
This term places the maximum obligations on the seller and minimum obligations on the buyer.