CIF – Cost, Insurance and Freight
Similar to CFR, but the seller also provides minimum insurance coverage to the destination port.
DAP – Delivered at Place
The seller delivers goods to a named destination. The buyer is responsible for import duties and taxes.
DDP – Delivered Duty Paid
The seller assumes all costs and risks, including duties and taxes, delivering goods to the buyer’s location.
CPT – Carriage Paid To
The seller pays transportation to the destination, but risk transfers once goods are handed to the first carrier.
CIP – Carriage and Insurance Paid To
Similar to CPT, but includes insurance coverage arranged by the seller.
EXW – Ex Works
The seller makes goods available at their premises. The buyer assumes all transportation, export clearance, and risk from that point forward.
FCA – Free Carrier
The seller delivers goods to a carrier or another party nominated by the buyer at an agreed location. Risk transfers once goods are handed over.
FOB – Free On Board
The seller is responsible until goods are loaded onto the vessel at the port of origin. Risk transfers to the buyer once cargo is onboard.
CFR – Cost and Freight
The seller pays the cost and freight to the destination port. Risk transfers once goods are loaded onto the vessel at origin.