Incoterms Definitions DAT, DAP, DDP - Universal Shipping News HD

More: http://www.universalcargo.com/incoterms-definitions-part-3-dat-dap-ddp/ Incoterms Definitions - Group D - DAT, DAP, DDP Transcript: Universal Shipping News presents Incoterms Definitions: Group D. I’m Jared Vineyard. In previous videos, we defined the Incoterms in Groups E, F, and C. This video covers DAT, DAP, and DDP. Group D Incoterms apply to any mode of transport. DAT – Delivered at Terminal Definition: This term means that the seller covers all the costs of transport (export fees, carriage, insurance, and destination port charges) and assumes all risk until after the goods are unloaded at the terminal.[3] The buyer covers the cost of transporting the goods from the terminal or port to final destination and pays the import duty/taxes/customs costs. Note: With this arrangement, the seller assumes a large portion of the risks and costs of transport. DAP - Delivered at Place Definition: This term means that the seller pays all the costs of transportation (export fees, carriage, insurance, and destination port charges) up to and including the delivery of the goods to the final destination. The buyer is responsible to pay only the import duty/taxes/customs costs. The buyer also is responsible to unload the goods from the vehicle at the final destination.[5] Note: The big difference between DAP and DAT is that with DAP the seller is responsible for the final leg of the journey and the buyer is responsible for the final unloading of the goods. DDP – Delivered Duty Paid Definition: With DDP the seller again assumes all the risks and costs of transport (export fees, carriage, insurance, and destination port charges, delivery to the final destination), but here the seller also pays any import customs/duty.[6] The buyer has only to unload the goods at the final destination.[7] Note: AKA the non-Incoterm "Free In Store” (FIS), DDP represents maximum responsibility for both costs and risk assumption from beginning to end to the seller. This arrangement is the opposite end of the spectrum from ExWorks (EXW) where the majority of the cost and risk assumption is on the shoulders of the buyer.[8] For more on these incoterms and all the rest, go to UniversalCargo.com. This concludes our video series defining Incoterms.