Incoterms
Also called: Incoterms 2020 · international commercial terms
A set of standard three-letter trade terms published by the International Chamber of Commerce that allocate delivery point, risk, costs and customs formalities between seller and buyer. The current edition is Incoterms 2020; the rules include, for example, EXW, FCA, FOB, CIF, DAP and DDP. They do not govern price, payment or transfer of ownership.
In practice
The chosen term decides who must clear customs and pay duties, so it should match who actually holds an EORI or importer registration in the destination country.
EU
Türkiye
USA
UKRelated terms
- EXW
- The Incoterms rule placing the least obligation on the seller: goods are made available at the seller's premises and the buyer arranges loading,…
- DDP
- The Incoterms rule placing the most obligation on the seller: the seller delivers goods cleared for import at the named destination and bears all…
- CIF (valuation basis)
- As a valuation basis, CIF means the price of the goods plus the cost of insurance and transport up to the place where goods enter the customs…
- FOB (valuation basis)
- As a valuation basis, FOB means the value of goods loaded on board at the port of export, without international freight and insurance. The United…
- Landed cost
- The full cost of a product delivered to the buyer's premises, including purchase price, freight, insurance, customs duty, additional duties, import…
- Importer of record
- The party legally responsible for an import, including correct declaration, payment of duties and compliance with regulations. The term is used…