Make the goods available at their premises (factory, warehouse, etc.)

Not responsible for loading the goods onto the collecting vehicle or for export customs clearance

Buyer bears all costs and risks involved in taking the goods from the seller’s premises to the final destination

Responsible for loading, transportation, export customs clearance, and all other formalities and costs

Delivers the goods to buyer’s specified place

Seller is responsible for export customs clearance and bears the cost of delivering the goods to the named place

Buyer assumes all risks and costs once the goods have been delivered to specified place

Buyer is responsible for the main carriage, import customs clearance, and further transportation to the final destination

Loading and transport:

In EXW, the buyer arranges for the loading and transportation from the seller’s premises. In FCA, the seller handles the loading and delivery to the specified location or carrier

Export customs clearance:

In EXW, the buyer is responsible for export customs clearance, whereas in FCA, the seller takes care of it

Risk and cost allocation:

EXW places more responsibility on the buyer, making it suitable when the buyer has better logistics capabilities and local knowledge. FCA offers a more balanced allocation of responsibilities, with the seller handling initial logistics and export formalities

Responsible for delivering the goods alongside the vessel on the quay or in the dock at the named port of shipment

Handles export customs clearance

Bears all costs and risks from the moment the goods are placed alongside the ship

Responsible for loading the goods onto the vessel, main carriage, insurance, and import customs clearance

Delivering the goods on board the vessel at the named port of shipment

Handles export customs clearance and all costs until the goods are loaded onto the ship

Assumes all risks and costs from the moment the goods are on board the vessel

Responsible for loading the goods onto the vessel, main carriage, insurance, and import customs clearance

Point of delivery:

In FAS, the delivery is completed once the goods are placed alongside the ship. In FOB, the delivery is completed once the goods are loaded on board the ship

Loading costs:

In FAS, the buyer is responsible for the costs of loading the goods onto the vessel. In FOB, the seller bears these costs

Cost of transportation of the goods to the named port of destination

Handles export customs clearance and bears the costs until goods are loaded on board the vessel at port of shipment

Assumes the risk of loss or damage to the goods once they are on board the vessel at the port of shipment

Responsible for insurance, import customs clearance, and any further transportation costs from the port of destination

Same as CFR and in addition, must also procure insurance against the buyer's risk of loss or damage to the goods during the carriage

Same as CFR except that seller has to provide insurance coverage

Insurance:

Under CFR, the seller has no obligation to provide insurance; the buyer must arrange for insurance coverage

Under CIF, the seller must provide insurance coverage for the goods during the carriage to the port of destination, offering an additional layer of security for the buyer

Cost of transportation of the goods to the named port of destination

Handles export customs clearance and bears the costs until goods are handed over to first carrier

Assumes the risk of loss or damage to the goods once they are handed over to first carrier

Responsible for insurance, import customs clearance, and any further transportation costs from the place of destination

Same as CPT and in addition, must also procure insurance against the buyer's risk of loss or damage to the goods during the carriage

Same as CPT except that seller has to provide insurance coverage

Arrange and pays for all transportation costs to deliver the goods to the named place of destination

Responsible for unloading the goods and for import customs clearance and any associated costs

Point of risk transfer:

For CPT and CIP, the risk transfers to the buyer once the goods are handed over to the first carrier

For DAP, the risk transfers to the buyer when the goods are made available for unloading at the named place of destination

Insurance:

CPT & DAP does not require the seller to provide insurance. The buyer must arrange for their own insurance if desired.

CIP requires the seller to provide insurance coverage for the goods during transit

Responsibilities at destination:

In CPT and CIP, the buyer is responsible for import customs clearance and any further transportation from the destination

In DAP, the seller is responsible for transportation to the named place, but the buyer handles unloading and import customs clearance

Handles all costs and risks associated with transportation to the designated location, including unloading

Export customs clearance

Responsible for import customs clearance, duties, taxes, and any further transportation from the place of delivery

Handles all aspects of transportation, insurance, customs clearance and export/import duties & taxes up till designated location

Only responsible for unloading the goods at the final destination

Customs and duties:

Under DPU, the buyer is responsible for import customs clearance, duties, and taxes. Under DDP, the seller handles these responsibilities

Cost allocation:

DPU requires the seller to cover costs up to and including unloading at the specified place, with the buyer covering import-related costs

DDP places almost all costs on the seller until the goods reach the final destination