In total, there are 11 different Incoterms. The most important difference between these international trade terms is the point at which the risk passes from the seller to the buyer. Therefore, from what point is the buyer responsible :
- transport costs
- shipping risk
- and insurance
List of 11 Incoterms
As an online store, it’s important to know your accurate cleaned numbers list from frist databaseobligations and understand your different options. Below, you’ll find the 11 different types of Incoterms and what they cover.
Standard Incoterms
EXW (Ex works)
The goods are available at the seller’s premises on creating a seamless end-to-end customer experience a fixed date. The buyer arranges and pays for the transport. He also bears the risks until the final destination of the goods. Export and import formalities and costs, as well as duties and taxes related to these two operations, are also the responsibility of the buyer.
FCA (Free Carrier)
The seller delivers the goods to the carrier designated and paid by the buyer. The transfer of risk is materialized during this transaction. Export formalities and costs, as well as related duties and taxes, are the responsibility of the seller. The buyer assumes responsibility for transport to these places of activity, completes import formalities, and pays the related duties and taxes.
CPT (Carriage Paid To)
The seller bears the cost of shipping to the por consumer data of destination. The transfer of risk is established when the goods are placed at the disposal of the first carrier. Therefore, the insurance costs are borne by the buyer.
CIP (Carrying Charged, Insurance Included, Up To)
The conditions are the same as for CPT. The seller must provide insurance covering the buyer and the risk of loss or damage that the goods may incur during transport.
DAP (Delivered at Destination)
The seller bears the costs and risks during the transport of the goods to an agreed address. As soon as the goods arrive at this address and are ready for unloading, the risk passes to the buyer.
