In the international trade of goods, there are a variety of external risks to which the goods are handled and transported. It must be clear to whom the various matters are performed, to whom the costs are borne, and how the risks are divided when the buyer and the seller negotiate a contract。
In order to simplify the process, buyers and sellers use a particular term to outline their rights and obligations。
This special term, which represents the division of responsibility, costs and risks between the parties to the transaction, is called trade terms, and is derived from international trade practices。
Exw
Exw is known as ex works (... Name place) and in chinese it means delivery for the plant (described location). It means that the seller delivers the goods from the factory (or warehouse) to the buyer and, unless otherwise specified, the seller is not responsible for loading the goods from the car or ship arranged by the buyer, nor for the export customs declaration. Buyers should bear all the costs and risks of the seller's plant being delivered and reaching its final destination。
Ii. Cfr trade terms belong to group c of international trade terms
The cfr trade term is another expression of the cdf trade term or the c&f trade term:
C is the first letter of cost (cost: the price of the exported commodity), and n or & is the expression of and (“and”) or understood as “plus plus”。
F is the first letter (freight) of the english-language freight, or expressed in the first two frs, so:
Cfr, cnf or c&f = price for exported goods + freight (where freight is delivered to the terminal or container site of the buyer's country of import, etc.)
Cfr can also be interpreted as = fob price + f sea freight (fr)
It's an inappropriate analogy: cfr trade terms mean equivalent to our bountiful package delivery terms, but insurance is to be insured by the buyer itself。
After chartering and opening a ship, the exporter is required to notify the buyer in a timely manner of the name of the ship delivered, the voyage, the bill of lading and the opening time of the ship, etc., in order for the buyer to obtain insurance in the importing country。
Cfr: c&f=cnf=cfr=fob + f(r) (maritime)
Cpt
Cpt means the seller delivers the goods to its designated carrier and pays the freight to transport the goods to the designated destination, with the buyer bearing all the risks and other costs after delivery. The term applies to all modes of transport, including multimodal transport。
Iv. Deq trade terms for group d of international trade terms
Deq: delived ex quay, a foreign trade term for delivery at the port of destination (the port of designated destination), means that the seller submits the goods to the buyer for disposal at the port of designated purpose and completes delivery without the import clearance。
The seller should bear all the risks and costs of transporting the goods to a designated port of destination and unloading them to the dock。
The deq trade term requires the buyer to carry out import clearance procedures and to pay all customs charges, customs duties, taxes and other charges at the time of import。
If the parties wish the seller to bear all or part of the costs of the import, it should be clearly stated in the sales contract。
Normally, if the seller is responsible for the payment of import duties, import value-added tax, etc., then after deq the deq shall be added to the note “duty paid”。
If the parties agree that the seller does not bear vat, note “vat unpaid”。
If the parties agree that the buyer is responsible for import clearance and payment of customs duties, note “deq duty unpaid”。
In its foreign trade terms, the seller must bear the risks and costs, obtain the corresponding export licence or other official permit or other document, and perform all customs formalities required for the export of goods and for transit through other countries。
In the trade term deq, the buyer must bear the risks and costs, obtain the corresponding import licence or other official permit and perform all customs formalities required for the import of the goods。
In the trade term deq, the seller is required to enter into a contract of carriage at its own expense to transport the goods to a designated port of destination。
In the absence of an agreement or in accordance with established practice, the seller may choose at the designated port of destination where delivery is most appropriate for its purpose。
In the deq terms of international trade, the seller must, on an agreed date or within an agreed period of time, place the goods at the buyer's disposal at the port terminal for the specified purpose。
In the term deq international trade, the buyer was required to take delivery of the goods at the time of the seller's security requirement。
Unless otherwise provided, the seller must bear all the risks of loss of or damage to the goods until delivery has been made as required。
The buyer must assume all the risks of loss of or damage to the goods from the time of delivery as required。
V. Dau
The full name of the dpu is delived at place unloaded, which means transport terminal delivery. The seller, after unloading the goods, delivers the goods to the buyer for disposal at the designated destination or destination port bulk station and completes delivery. Except for import costs, the seller shall bear all the risks and costs of transporting the goods to the seller's designated destination or destination port bulk station。
Dat trade terms for group d of international trade terms
Dat trade term (deleved at destination) delivery at bulk station at destination or port of destination, or “transport terminal delivery”。
It means delivery when the seller removes the goods from the means of transport upon arrival at the designated port or destination for disposal by the buyer。
“transport terminal” means any location, whether indoor or outdoor, such as terminal, warehouse, container yard or road, rail or air terminal。
The seller bore all the risks during the period when the goods were shipped to and offloaded at the designated port or destination under the terms of the trading terminology。
Special recommendations: parties using dat trade terms agree as precisely as possible on a transport terminal or, if possible, on a particular location within the transport terminal at the agreed port or destination;
Dat trade terms require the seller to clear the goods for export (only when required), but the seller is not obliged to import the goods, pay any import duties or perform any related customs formalities for import。
Vii. Ddp
Ddp is the delivery of goods that have not been unloaded to the buyer for disposal upon completion of customs clearance by the seller at the designated destination. The seller shall bear all the risks and costs of transporting the goods to the destination, including any import duties due to the destination。
This is what international trade terms are shared with sellers for any mode of transport? The knowledge is expected to help sellers. The league of nations international logistics has always focused on every little thing about sellers, and later articles will also include articles on relevant aspects to help sellers operate better。
