QUESTIONS?
David Noah
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October 9, 2019
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Import Basics,
Export Basics,
Incoterms
The International Chamber of Commerce (ICC) has released the new Incoterms 2020 rules that identify the responsibilities of buyers and sellers for the delivery of goods in international trade. The terms also identify when the risk for those goods transfer from the seller to the buyer.
The new terms take effect on January 1, 2020.
David Noah
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January 9, 2019
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Export Basics,
Incoterms
If you ship goods domestically, you may wonder why you need to know Incoterms too. FOB is FOB, isn't it?
Well, actually, no—they’re not!
Catherine J. Petersen
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December 11, 2017
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Incoterms
The International Chamber of Commerce (ICC) has developed several publications providing sellers and buyers with guidance on the use of Incoterms 2010. My favorite is Incoterms rules, Publication No. 715e.
According to the ICC, Delivered Duty Paid (DDP) means:
[T]he 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. The seller bears all the costs and risks involved in bringing the goods to the place of destination and has an obligation to clear the goods not only for export but also for import, to pay any duty for both export and import and to carry out all customs formalities.
The ICC was succinct in its description of obligations for the seller in this paragraph. However, there’s more detail to consider for the seller and for the buyer when establishing a contract that references DDP.
David Noah
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July 19, 2017
|
Export Basics,
Incoterms
Incoterms are the official International Chamber of Commerce (ICC) rules for the explanation of trade terms.
Incoterms 2010 is adhered to by all major trading nations of the world, and it is the authoritative text for determining how costs and risks are allocated to parties conducting international transactions. Incoterms facilitate the conduct of international business by defining the responsibilities of the involved participants.
Catherine J. Petersen
|
May 22, 2017
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Incoterms
Companies that ship domestically within the United States often use the trade term FOB—Free On Board. But FOB has a completely different meaning under the international trade terms, Incoterms 2010. Exporters who want to use the international equivalent to FOB often use the Incoterm FCA—Free Carrier At.
Like all 11 of the 2010 Incoterms rules, FCA identifies whether it is the seller or the buyer who pays the domestic, international and on-carriage freight charges. So, let’s compare the domestic use of FOB with the international use of FCA.
David Noah
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May 10, 2017
|
Export Basics,
Incoterms
Incoterms are the official International Chamber of Commerce (ICC) rules for the explanation of trade terms. Incoterms 2010 is adhered to by all major trading nations of the world, and it is the authoritative text for determining how costs and risks are allocated to parties conducting international transactions. Incoterms facilitate the conduct of international business by defining the responsibilities of the involved participants.
David Noah
|
March 29, 2017
|
Export Basics,
Incoterms
Incoterms are the official International Chamber of Commerce (ICC) rules for the explanation of trade terms. Incoterms 2010 is adhered to by all major trading nations of the world, and it is the authoritative text for determining how costs and risks are allocated to the parties conducting international transactions. Incoterms facilitate the conduct of international business by defining the responsibilities of the involved participants.
Catherine J. Petersen
|
March 27, 2017
|
Incoterms
When companies negotiate a sale of goods, they typically specify the terms of the sale including when the seller transfers ownership of the goods to the buyer, who then assumes the associated risk of loss. This can occur before the buyer takes actual possession of the goods.
Perhaps the most familiar of these terms is FOB; however, there are several others. Such terms are also known as trade terms or mercantile symbols.
David Noah
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February 15, 2017
|
Export Basics,
Incoterms
Incoterms are the official International Chamber of Commerce (ICC) rules for the explanation of trade terms.
Incoterms 2010 is adhered to by all major trading nations of the world, and it is the authoritative text for determining how costs and risks are allocated to the parties conducting international transactions. Incoterms facilitate the conduct of international business by defining the responsibilities of the involved participants.
This is the eighth article in our series investigating the basic meaning of all 11 Incoterms.
David Noah
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January 4, 2017
|
Export Basics,
Incoterms
Incoterms are the official International Chamber of Commerce (ICC) rules for the explanation of trade terms. Incoterms 2010 are adhered to by all major trading nations of the world, and it is the authoritative text for determining how costs and risks are allocated to the parties conducting international transactions. Incoterms facilitate the conduct of international business by defining the responsibilities of the involved participants.