DPU (Delivered at Place Unloaded)

Incoterms, also known as international commercial terms, are set to eliminate or decrease confusions and conflicts between buyers and sellers in international trade and to facilitate the trade and commerce process globally. Incoterms were created by the International Chamber of Commerce (ICC) in 1936 and since then, they are updated on a regular basis to suit changing trade trends.
EXWFCACPTCIPDAPDPUDDPFASFOBCFRCIF
Free CarrierCarriage Paid ToCarriage Insurance Paid ToDelivered at PlaceDelivered at Place UnloadedDelivered Duty PaidFree Alongside ShipFree On BoardCost & FreightCost, Insurance & Freight
Charges/FeesEx Works
At a named place, the seller transfers the goods to the buyer; the buyer is responsible for all risks.1.) when seller loads goods to buyer’s carrier or 2.) when goods are at the buyer’s disposal & ready for unloading at a named placedwhen the goods are handed over to the seller’s nominated carrier at a named placewhen the goods are handed over to the seller’s nominated carrier at a named placewhen the goods are placed at the buyer’s disposal at a named place or agreed point within that placewhen the goods are delivered and unloaded at a named place or agreed point within that placewhen the goods are placed at the buyer’s disposal at a named place or agreed point within that placewhen goods are alongside the vessel nominated by the buyer at named portwhen goods are on board the vessel nominated by the buyer at named portwhen the goods are on board the vessel nominated by the seller at originwhen the goods are on board the vessel nominated by the seller at origin
Risks Transfer
Commercial InvoiceSellerSellerSellerSellerSellerSellerSellerSellerSellerSellerSeller
Packaging & QCSellerSellerSellerSellerSellerSellerSellerSellerSellerSellerSeller
Loading & DeliveryBuyerSellerSellerSellerSellerSellerSellerSellerSellerSellerSeller
Export Duty & TaxesBuyerSellerSellerSellerSellerSellerSellerSellerSellerSellerSeller
Origin Terminal HandlingBuyerBuyerSellerSellerSellerSellerSellerBuyerSellerSellerSeller
Cargo InsuranceNegotiableNegotiableNegotiableSellerNegotiableNegotiableNegotiableNegotiableNegotiableNegotiableSeller
Carriage ChargesBuyerBuyerSellerSellerSellerSellerSellerBuyerBuyerSellerSeller
Destination Terminal HandlingBuyerBuyerSellerSellerSellerSellerSellerBuyerBuyerBuyerBuyer
Delivery to DestinationBuyerBuyerSellerSellerSellerSellerSellerBuyerBuyerBuyerBuyer
Unloading at DestinationBuyerBuyerBuyerBuyerBuyerSellerBuyerBuyerBuyerBuyerBuyer
Import Duty & TaxesBuyerBuyerBuyerBuyerBuyerBuyerSellerBuyerBuyerBuyerBuyer
Incoterms 2020
DPU

DPU was previously known as DAT for “Delivered at Terminal” in Incoterms 2010. It requires the seller to place the goods at the buyer’s disposal once they have been unloaded from the arriving carrier.

The only Incoterm requiring the seller to unload goods at the destination is DPU.

DPU can be used for any mode of transportation, including air and sea. A particular destination should be specified and agreed upon by the buyer and seller according to this incoterm.

DPU requires the seller to clear goods for export, but does not force the seller to clear them for import, pay import duty, or complete import customs formalities.

Seller’s Responsibility Under DPU

  • Delivery of goods at the specified place
  • Preparing invoices and documents
  • Packaging and marking
  • Transportation of the goods in the country of origin
  • Customs handling fees in the country of origin
  • Charges in the country of origin
  • Proof of delivery
  • Export formalities and licenses
  • Loading and unloading charges

Buyer’s Responsibility Under DPU

  • Goods payment according to the sales contract
  • Import formalities and licenses
  • Customs handling fees in the destination country
  • Payment of taxes and duties
  • Cost of delivery to the buyer

DPU Vs. DAP ; What’s the Difference?

The seller must ensure that he can manage unloading at the specified location under DPU Incoterms. If the parties intend for the seller to bear the risk and cost of unloading, the DPU rule should be avoided and a DAP (Delivered at Place) should be used instead.

The only Incoterm in which the products are delivered and unloaded at the destination is DPU. The only difference between DPU and DAP is that the items in DPU are delivered unloaded, whereas the goods in DAP are delivered ready to unload.

Cargo Insurance in DPU

There is no obligation to make an insurance contract when using DPU Incoterms.

DPU was previously known as DAT for “Delivered at Terminal” in Incoterms 2010. It requires the seller to place the goods at the buyer’s disposal once they have been unloaded from the arriving carrier.

The only Incoterm requiring the seller to unload goods at the destination is DPU.

DPU can be used for any mode of transportation, including air and sea. A particular destination should be specified and agreed upon by the buyer and seller according to this incoterm.

DPU requires the seller to clear goods for export, but does not force the seller to clear them for import, pay import duty, or complete import customs formalities.

Seller’s Responsibility Under DPU

  • Delivery of goods at the specified place
  • Preparing invoices and documents
  • Packaging and marking
  • Transportation of the goods in the country of origin
  • Customs handling fees in the country of origin
  • Charges in the country of origin
  • Proof of delivery
  • Export formalities and licenses
  • Loading and unloading charges

Buyer’s Responsibility Under DPU

  • Goods payment according to the sales contract
  • Import formalities and licenses
  • Customs handling fees in the destination country
  • Payment of taxes and duties
  • Cost of delivery to the buyer

DPU Vs. DAP ; What’s the Difference?

The seller must ensure that he can manage unloading at the specified location under DPU Incoterms. If the parties intend for the seller to bear the risk and cost of unloading, the DPU rule should be avoided and a DAP (Delivered at Place) should be used instead.

The only Incoterm in which the products are delivered and unloaded at the destination is DPU. The only difference between DPU and DAP is that the items in DPU are delivered unloaded, whereas the goods in DAP are delivered ready to unload.

Cargo Insurance in DPU

There is no obligation to make an insurance contract when using DPU Incoterms.

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