Incoterms 2020
The 11 International Commercial Terms published by the International Chamber of Commerce. Each defines risk transfer, cost allocation, and delivery obligations between buyer and seller.
| Code | Full Name | Transport Mode | Risk Transfers At |
|---|---|---|---|
| EXW | Ex Works | Any mode | At seller's premises (factory, warehouse, etc.) |
| FCA | Free Carrier | Any mode | When goods are handed to the carrier at the named place |
| CPT | Carriage Paid To | Any mode | When goods are handed to the first carrier (NOT at destination) |
| CIP | Carriage and Insurance Paid To | Any mode | When goods are handed to the first carrier (NOT at destination) |
| DAP | Delivered at Place | Any mode | At named destination, before unloading |
| DPU | Delivered at Place Unloaded | Any mode | At named destination, after unloading |
| DDP | Delivered Duty Paid | Any mode | At named destination, after unloading |
| FAS | Free Alongside Ship | Sea / inland waterway | When goods are placed alongside the vessel at the named port of shipment |
| FOB | Free On Board | Sea / inland waterway | When goods pass the ship's rail at the named port of shipment |
| CFR | Cost and Freight | Sea / inland waterway | When goods pass the ship's rail at port of shipment (NOT at destination) |
| CIF | Cost, Insurance and Freight | Sea / inland waterway | When goods pass the ship's rail at port of shipment (NOT at destination) |
Incoterms govern delivery obligations and risk transfer only — they do not determine which party pays customs duties or VAT, which is governed by national law. Click any term for full obligations, common mistakes, and worked examples.