Entity: DDP
DDP, short for Delivered Duty Paid, is a trade term and Incoterm that signifies the seller's responsibility for all import costs, including customs duties, taxes, and fees. This term ensures that the buyer does not face unexpected charges upon receiving the package.
DDP
Etymology
DDP stands for Delivered Duty Paid.
Definition
DDP is a trade term and Incoterm that signifies the seller's responsibility for all import costs, including customs duties, taxes, and fees, to prevent unexpected charges for the buyer.
Historical Context
DDP has been widely used in sea freight and air freight importing to specify the maximum responsibility placed on the seller during shipping.
Cultural Significance
The use of DDP ensures transparency and predictability in international trade transactions, benefiting both sellers and buyers by clearly defining cost responsibilities.
Related Concepts
Other related Incoterms include EXW (Ex Works), FOB (Free on Board), and CIF (Cost, Insurance, and Freight).
See Also
A trade term and Incoterm that signifies the seller's responsibility for all import costs, including customs duties, taxes, and fees, to prevent unexpected charges for the buyer.