Incoterms

424207974“Incoterms” provide a set of international rules for interpreting the most commonly used trade terms in international trade.

The purpose of these terms is to avoid the confusion caused by varying interpretations in different countries. Often parties to a contract are unaware of the unique trading practices in their respective countries. This can give rise to misunderstandings, disputes and litigation, resulting in a waste of time and money.

In order to remedy these problems, the International Chamber of Commerce (ICC) first published a set of international rules for the interpretation of trade terms in 1936. Amendments and additions have been made since then to keep the rules in line with current international practices.

The following preambles neither constitute the full text of Incoterms 2000, nor a summary of them. They only present selected features of Incoterms.

Allocations of costs to buyer/seller according to Incoterms 2010

Incoterm 2010 Export customs declaration Carriage to port of export Unloading of truck in port of export Loading on vessel in port of export Carriage (Sea/Air) to port of import Insurance Unloading in port of import Loading on truck in port of import Carriage to place of destination Import customs clearance Import taxes
EXW Buyer Buyer Buyer Buyer Buyer Buyer Buyer Buyer Buyer Buyer Buyer
FCA Seller Seller Buyer Buyer Buyer Buyer Buyer Buyer Buyer Buyer Buyer
FAS Seller Seller Seller Buyer Buyer Buyer Buyer Buyer Buyer Buyer Buyer
FOB Seller Seller Seller Seller Buyer Buyer Buyer Buyer Buyer Buyer Buyer
CPT Seller Seller Seller Seller Seller Buyer Seller Buyer/Seller Seller Buyer Buyer
CFR(CNF) Seller Seller Seller Seller Seller Buyer Buyer/Seller Buyer Buyer Buyer Buyer
CIF Seller Seller Seller Seller Seller Seller Buyer/Seller Buyer Buyer Buyer Buyer
CIP Seller Seller Seller Seller Seller Seller Seller Buyer/Seller Seller Buyer Buyer
DAT Seller Seller Seller Seller Seller Seller Seller Buyer Buyer Buyer Buyer
DAP Seller Seller Seller Seller Seller Seller Seller Seller Seller Buyer Buyer
DDP Seller Seller Seller Seller Seller Seller Seller Seller Seller Seller Seller