In international trade, when you negotiate and communicate with your seller, you will definitely use trade terms, such as EXW, FOB, CIF, etc. You may be overwhelmed by these 3-letter incoterms. Because you don't know what they mean in shipping, what you and the seller are responsible for, and which one you should choose from [...]
According to statistics, about 70% of China's exports are traded under FOB terms, and there is a further upward trend. FOB is one of the most widely used trading terms in China's international transactions. To import from China, FOB is the term you must clearly understand. And this article will be a complete guide for [...]
Shipping terms define what the seller and buyer should do, and who should pay for the costs and bear the risks in the process of cargo transportation. Among these terms, EXW is a common one. If you are considering using EXW shipping term, this article will help you better understand it from the following aspects:What [...]
DDP, DDU, and DAP are terms frequently used in international logistics. However, many people may not have a deep understanding of them, leading to some complications in the import and export processes. So, in this article, we'll explore DDP, DDU, and DAP from several perspectives:What is DDP meaning in shipping?What is DDU meaning?What is DAP [...]
Incoterms are essential to international trades. They will influence the quotation you get from the seller, the shipping of the goods, and the responsibilities of sellers and buyers.Some new buyers don't have a clear understanding of trading terms. They see others usually use FOB, so they also ask their sellers for FOB price. But actually, [...]
Import and export can be profitable businesses. But first, you should know the ins and outs of shipping. One of the important things you must learn is the rules and regulations of transporting products from one place to another, using various shipping methods.In the shipping line, these regulations are called incoterms. While many types exist, [...]
When it comes to FCA vs. FOB incoterms, you will find fundamental differences in the transportation mode and arrangements, goods delivery, transactions, and risk transfers.So whether you are a buyer or seller, knowing these variations will help you make an ideal shipping agreement that will turn into a profitable trade.Among many, a few of the [...]
CIP incoterms are one of the shipping policies by ICC. So how do they impact the shipping between exporters and importers? Let’s explore the critical details of CIP here.What is CIP?Understanding CIP Incoterms with an ExampleHow Does the Shipping Process Take Place Under CIP?Obligations Related to CIP IncotermsPros and Cons of CIP IncotermsInsurance in CIP [...]
Learning about different shipping rules and regulations can help you in numerous ways as an importer and exporter. Shipping depends on a different set of policies, which are called “Incoterms.” There are different kinds of incoterms, and each one has its own obligations, duties, benefits, and flaws for both parties.So let’s focus on CPT Incoterms [...]
International Commercial Terms (Incoterms) are pre-determined trade terms of ICC (the International Chamber of Commerce) to describe the mode of delivery of goods and the roles of importers and exporters in the process. Both buyers and sellers in the global trading market should acknowledge them during the transaction.As one of the Incoterms, DAT used to be [...]
