Tools
Incoterms 2020 Simulator
Select an Incoterm to see who is responsible for each cost and risk. Includes practical cases with real situations.
Incoterms 2020
Incoterms® 2020 Simulator
Interactive tool to understand seller & buyer responsibilities
E: DepartureMinimum seller obligation
F: Main carriage unpaidSeller delivers to carrier
C: Main carriage paidSeller pays freight, not risk
D: ArrivalMaximum seller obligation
Select an Incoterm to see the full breakdown
The 11 Incoterms® 2020 at a glance
| Incoterm | Delivery and risk | Main carriage | Export clearance | Import clearance and duties | Compulsory insurance | Modes |
|---|---|---|---|---|---|---|
| EXW Ex Works | Seller's premises, made available, not loaded | Buyer | Buyer | Buyer | No | Any |
| FCA Free Carrier | Handed to the buyer's carrier at the named place | Buyer | Seller | Buyer | No | Any |
| FAS Free Alongside Ship | Alongside the ship, port of shipment | Buyer | Seller | Buyer | No | Sea, inland waterway |
| FOB Free On Board | On board the vessel, port of shipment | Buyer | Seller | Buyer | No | Sea, inland waterway |
| CFR Cost and Freight | On board the vessel, port of shipment | Seller | Seller | Buyer | No | Sea, inland waterway |
| CIF Cost, Insurance and Freight | On board the vessel, port of shipment | Seller | Seller | Buyer | Seller, clauses (C) | Sea, inland waterway |
| CPT Carriage Paid To | Handed to the first carrier | Seller | Seller | Buyer | No | Any |
| CIP Carriage and Insurance Paid To | Handed to the first carrier | Seller | Seller | Buyer | Seller, clauses (A) | Any |
| DAP Delivered at Place | Named destination, ready for unloading | Seller | Seller | Buyer | No | Any |
| DPU Delivered at Place Unloaded | Named destination, unloaded | Seller | Seller | Buyer | No | Any |
| DDP Delivered Duty Paid | Named destination, ready for unloading, import cleared | Seller | Seller | Seller | No | Any |
Simplified summary. The ICC rules and the sales contract prevail; terminal charges and unloading depend on the contract of carriage and the agreed place.
Incoterms® 2020: key points
- Incoterms® 2020 have applied since 1 January 2020 and remain the current ICC version. Quote them with the version, for example "FCA Valencia, Incoterms® 2020".
- They govern delivery, transfer of risk, allocation of costs and customs and document formalities. They do not govern ownership of the goods, the price or the payment method.
- DPU replaces DAT: delivery with unloading no longer has to be at a terminal, it can be any agreed place.
- CIP now requires broad cover, Institute Cargo Clauses (A); CIF keeps minimum cover (C). In both cases at least 110% of the value.
- Under FCA the parties may agree that the buyer instructs its carrier to issue an on board bill of lading to the seller, useful with letters of credit.
- FAS, FOB, CFR and CIF are for sea and inland waterway only. For containers the ICC recommends FCA, CPT or CIP, because goods are handed over at the terminal, not on board.
Incoterms® is a registered trademark of the International Chamber of Commerce. This simulator is a practical guide, not legal advice.
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