Incoterms 2010 short version

The news at a glance:

From 1. January 2011 onwards, revised Incoterms will come into effect worldwide. In order to inform you of the changes, we have summarised all of the relevant information into an overview:

 

In the future, instead of 13 clauses, there will only be 11, these 11 clauses are divided into two categories.

 

Clauses for all types of transport:

EXW, FCA, CPT, CIP, DAT, DAP, DDP

 

Clauses for sea and inland water transport:

FAS, FOB, CFR, CIF

 

The DAT, former DEQ, and DAP Incoterms replace the former clauses DAF, DES and DDU.

 

Pursuant to Incoterms 2010, for clauses FOB, CFR and CIF, goods are regarded as having been delivered as soon as they are on board the ship, and not as previously, at the reeling of the ship.

 

Pursuant to the ICC, Incoterms may be applied to both domestic and to international purchase contracts. Source: Incoterms 2010 by International Chamber of Commerce. The Incoterms® are published by the International Chamber of Commerce (ICC). Only the text version published by the ICC is binding!

 

EXW - EX WORKS (... named place)

"Ex Works" means that the seller delivers when it places the goods at the disposal of the buyer at the seller’s premises or at another named place (i.e. works, factory, warehouse, etc.).

 

FCA - FREE CARRIER (... named place of delivery)

"Free Carrier" means that the seller delivers the goods to the carrier or another person nominated by the buyer at the seller’s premises or another named place. The parties are well advised to specify as clearly as possible the point within the named place of delivery, as the risk passes to the buyer at that point.

 

CPT - CARRIAGE PAID TO (... named place of destination)

"Carriage Paid To" means that the seller delivers the goods to the carrier or another person nominated by the seller at an agreed place (if any such place is agreed between the parties) and that the seller must contract for and pay the costs of carriage necessary to bring the goods to the named place of destination.

 

CIP - CARRIAGE AND INSURANCE PAID TO (... named place of destination)

"Carriage and Insurance Paid to" means that the seller delivers the goods to the carrier or another person nominated by the seller at an agreed place (if any such place is agreed between the parties) and that the seller must contract for and pay the costs of carriage necessary to bring the goods to the named place of destination.

 

DAT - DELIVERED TERMINAL (Terminal ... named port of destination / place of issue)

"Delivered At Terminal" means that the seller delivers when the goods, once unloaded from the arriving means of transport, are placed at the disposal of the buyer at the named terminal at the named port or place of destination. "Terminal" includes any place, whether covered or not, such as a quay, warehouse, container yard or road, rail or air cargo terminal.

 

DAP - DELIVERED named place (... named place of destination)

"Delivered At Place" means that the seller delivers when the goods are placed at the disposal of the buyer on the arriving means of transport ready for unloading at the named place of destination. The seller bears all risks involved in bringing the goods to the named place.

 

DDP - DELIVERED DUTY PAID  (... named place of destination)

"Delivered Duty Paid" means that the seller delivers the goods when the goods are placed at the disposal of the buyer, cleared for import on the arriving means of transport ready for unloading at the named place of destination.

 

FAS - Free Alongside Ship (... named port of shipment)

"Free Alongside Ship" means that the seller delivers when the goods are placed alongside the vessel (e.g., on a quay or a barge) nominated by the buyer at the named port of shipment. The risk of loss of or damage to the goods passes when the goods are alongside the ship, and the buyer bears all costs from that moment onwards.

 

FOB - FREE ON BOARD (... named port of shipment)

"Free On Board" means that the seller delivers the goods on board the vessel nominated by the buyer at the named port of shipment or procures the goods already so delivered. The risk of loss of or damage to the goods passes when the goods are on board the vessel, and the buyer bears all costs from that moment onwards.

 

CFR - COST AND FREIGHT (... named port of destination)

"Cost and Fright" means that the seller delivers the goods on board the vessel or procures the goods already so delivered. The risk of loss of or damage to the goods passes when the goods are on board the vessel.

 

CIF - COST, INSURANCE AND FREIGHT (... named port of destination)

"Cost, Insurance and Freight" means that the seller delivers the goods on board the vessel or procures the goods already so delivered. The risk of loss of or damage to the goods passes when the goods are on board the ship.