Incoterms 2020 comparison tool: who pays what

Pick two Incoterms rules to see exactly what changes — cost responsibility, where risk passes, and who pays import duty and VAT.

Incoterm A

Incoterm B

Common comparisons

FOBSea and inland waterway only

Seller delivers on board the vessel; freight and insurance are the buyer's.

Risk passes:: On board the vessel at the named port of shipment
Mandatory insurance cover:: No obligation to insure (cover is optional)

Not a delivered (door) rule

DDPAny transport mode

Seller delivers with import cleared and duty and VAT paid; the buyer only unloads.

Risk passes:: At the named destination, once the goods arrive ready for unloading, import cleared
Mandatory insurance cover:: No obligation to insure (cover is optional)

Delivered to a named destination

What changes between FOB and DDP

Main carriage (freight)BuyerSeller
Import customs clearanceBuyerSeller
Import duty & VATBuyerSeller
US pre-arrival filing (ISF)BuyerSeller

differsFOBDDP

Who pays the duty and VAT?

Under DDP the seller pays import duty and VAT; under DAP, FOB or CIF the buyer does. Estimate the amount for your shipment with the duty calculator.

Open the duty calculator The comparison is stored in the link — copy the address to share or bookmark it.

All 11 Incoterms 2020 rules, side by side

S = seller, B = buyer, as set out in Incoterms 2020.

Show:

All 11 Incoterms 2020 rules, side by side	EXW	FCA	CPT	CIP	DAP	DPU	DDP	FAS	FOB	CFR	CIF
Export customs clearance	B	S	S	S	S	S	S	S	S	S	S
Loading / handling at origin	B	S	S	S	S	S	S	B	S	S	S
Main carriage (freight)	B	B	S	S	S	S	S	B	B	S	S
Cargo insurance (mandatory cover)	B	B	B	S	B	B	B	B	B	B	S
Unloading at destination	B	B	B	B	B	S	B	B	B	B	B
Import customs clearance	B	B	B	B	B	B	S	B	B	B	B
Import duty & VAT	B	B	B	B	B	B	S	B	B	B	B
US pre-arrival filing (ISF)	B	B	B	B	B	B	S	B	B	B	B
Onward delivery beyond the named place	B	B	B	B	B	B	B	B	B	B	B
Risk passes	⇄	⇄	⇄	⇄	⇄	⇄	⇄	⚓	⚓	⚓	⚓
Mandatory insurance cover	–	–	–	A	–	–	–	–	–	–	C

S = seller · B = buyer · A / C = Institute Cargo Clauses · ⚓ = Sea and inland waterway only · ⇄ = Any transport mode

The ISF ("10+2") is filed by the importer of record — the buyer under every rule except DDP. It applies to ocean cargo only (bulk cargo is exempt) and is due 24 hours before loading at the foreign port. The cargo manifest (AMS) is filed by the carrier under all Incoterms.

Incoterms questions

Is there an Incoterms 2025 edition?

No. Incoterms 2020 is the current edition: the ICC published it in 2019 and it replaced Incoterms 2010. The 2020 edition renamed DAT to DPU. Any product described as "Incoterms 2025" is not an official edition.

What is the difference between DDP and DAP?

Both are delivered rules. Under DAP the buyer clears customs and pays duty and VAT; under DDP the seller does both, which means the seller must be able to act as importer of record in the destination country.

Who pays import duty under FOB or CIF?

The buyer. FOB only requires the seller to place the goods on board, and CIF adds freight and minimum insurance; in both cases import clearance, duty and VAT stay with the buyer.

Which Incoterms rules can be used for air freight?

EXW, FCA, CPT, CIP, DAP, DPU and DDP. FAS, FOB, CFR and CIF are reserved for sea and inland waterway transport.

Duty & Tax Read the full Incoterms guide Landed Cost

A summary of the ICC Incoterms 2020 rules in our own words, for information only — not legal or customs advice. Incoterms is a trademark of the International Chamber of Commerce; this page is not affiliated with or endorsed by the ICC.

Incoterms 2020 rules — last reviewed September 2026.