Reference
Incoterms® 2020
The eleven Incoterms in force, in plain English. Not a substitute for the ICC's official publication.
| Code | Name | Summary | |
|---|---|---|---|
| EXW | Ex Works | Buyer collects at seller's premises. Buyer takes all risk and cost from door. | Use when the buyer has strong logistics. |
| FCA | Free Carrier | Seller delivers to the buyer's carrier at a named place. Cleared for export. | Modern replacement for FOB in containerized trade. |
| CPT | Carriage Paid To | Seller pays freight to the named destination; risk transfers on handover to the first carrier. | Common for container and multimodal. |
| CIP | Carriage and Insurance Paid To | Same as CPT plus seller arranges all-risk cargo insurance. | Preferred when the buyer wants seller-arranged insurance. |
| DAP | Delivered at Place | Seller delivers to the named place, ready for unloading. Buyer clears import. | Door-to-named-address without import duties. |
| DPU | Delivered at Place Unloaded | Seller delivers and unloads at the named place. | The only Incoterm that requires the seller to unload. |
| DDP | Delivered Duty Paid | Seller delivers cleared for import with all duties and taxes paid. | Maximum seller obligation. |
| FAS | Free Alongside Ship | Seller delivers alongside the vessel at the named port. | Bulk and breakbulk only. |
| FOB | Free on Board | Seller delivers on board the vessel at the named port. | Bulk and breakbulk only — do not use for containers. |
| CFR | Cost and Freight | Seller pays freight to destination port; risk transfers at load port. | Bulk and breakbulk. |
| CIF | Cost, Insurance and Freight | CFR plus seller arranges minimum-cover marine insurance. | Bulk and breakbulk. |
Incoterms® is a trademark of the International Chamber of Commerce. This page is a summary for practical reference; the ICC's official rules govern.