Incoterms 2020
DDP (Delivered Duty Paid)
An Incoterm under which the seller delivers goods cleared for import, bearing all cost, risk and duties to the destination.DDP places maximum obligation on the seller: they pay for carriage, export and import clearance, and all duties and taxes, delivering the goods ready for unloading at the buyer's premises. It is the mirror image of EXW and is favourable to buyers but risky for sellers unfamiliar with the destination country.
Frequently asked questions
- Who pays import duty under DDP?
- The seller pays all import duties and taxes under DDP — it is the only Incoterm placing import clearance fully on the seller.
- How does DDP differ from DAP?
- Under DAP the buyer clears and pays import duties; under DDP the seller does — otherwise the two terms are the same.