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[Infographic] Master International Trade Terms DDP / DDU / DAP in Seconds 🚢 2

[Infographic] Master International Trade Terms DDP / DDU / DAP in Seconds 🚢

Doing foreign trade or cross-border business and constantly seeing these terms? Simply look at where the “responsibilities and risks” are transferred!

🔹 DDP (Seller All-Inclusive): As shown in the leftmost diagram, the seller is like a captain in charge of everything! This includes all freight, insurance, and even “import duties” at the destination. The buyer has the easiest task: simply receiving the goods.

🔸 DDU / DAP (Buyer Responsible for Customs): The seller is responsible for transport to the destination, but please note 👉 “import customs clearance and taxes” must be handled by the buyer! Risk also transfers to the buyer at the destination.

Look at the characters below: DDP carries the highest risk for the seller (the big red monster), while DAP is relatively lower. Remember to check the terms carefully next time you quote! 🤓

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