Calculate which costs lie with the buyer or seller depending on the IncotermINCOTERMS COST CALCULATOR
Cost item
Seller
Buyer
Please select an Incoterm
The meaning of Incoterms in foreign trade
Incoterms regulate the allocation of costs, risks, and responsibilities between seller and buyer in international trade. Among other things, they define who organises the transport, who covers the insurance, and at which point the risk transfers.
The rules are used worldwide in import and export business and are among the most important foundations of international delivery contracts.
Differences between EXW, FCA, DAP, and DDP
Depending on the Incoterm, the obligations of the parties involved differ considerably. With EXW, the buyer takes over a large part of the transport organisation. DDP, on the other hand, often obliges the seller through to full delivery including customs clearance.
As a result, transport costs, customs handling, and organisational effort change considerably in some cases.
Why the choice of Incoterm is important
Incorrectly chosen delivery terms regularly lead to misunderstandings or unexpected additional costs in international trade. Particularly for cross-border transports, the Incoterm directly influences responsibility for customs clearance, transport insurance, and risk transfer.
For this reason, Incoterms are taken into account already before contract conclusion and quote calculation.
