Free Alongside Ship (FAS) and Free On Board (FOB)
This article is part of our weekly blog series on the Incoterms® Rules — we will be looking at a new term every Tuesday Free Alongside Ship (FAS) and Free on Board (FOB) are the first two terms on the list that only apply to sea and inland waterway transport. We will consider them together due to the simple difference between them. Both terms place primary responsibility on the buyer to assume costs and risks, unlike the last term consi [...]
Read MoreDelivered Duty Paid (DDP)
This article is part of our weekly blog series on the Incoterms® Rules — we will be looking at a new term every Tuesday “Delivered Duty Paid” places the most responsibility on the seller out of all the Incoterms®. DDP goes beyond the seller assuming costs and risks of carriage to an agreed upon destination (as in DAP and DPU), to fulfilling export, transit, and import requirements as well. If an importer wants a shipment to arrive [...]
Read MorePreparing for Peak Season
“Peak Season” depends on each industry and when demand surges for a particular commodity—but late summer through fall tends to be the busiest time of year for the supply chain and retail worlds, between the back-to-school rush, and back-to-back holidays. This year, additional factors come into play as pandemic effects and congestion remain, including the weeks-long lockdown in Shanghai—the largest container port in the wor [...]
Read MoreDelivered At Place & Delivered At Place Unloaded
This article is part of our weekly blog series on the Incoterms® Rules — we will be looking at a new term every Tuesday DAP and DPU are nearly identical Incoterms® but with a key difference. ➤ The difference is that under DPU, the seller must also arrange for the unloading of the goods at the agreed destination, and is responsible for all costs and risks up until this point. Under DAP, risks and costs are the responsibility of t [...]
Read MoreUpdate on Congestion at Key Ports
Last updated: 5.4.22 U.S. East Coast The Port of Charleston continues to experience significant congestion and delays, with some containers sitting up to a month. The monthly average delay in March per Descartes Systems Group was 15.9 days (see Descartes’ report of delay times at the top 10 ports here.)The Port of Savannah continues to see significant increases in import volume, and The Georgia Ports Authority is on track to implement "e [...]
Read MoreCarriage Paid To & Carriage and Insurance Paid To
This article is part of our weekly blog series on the Incoterms® Rules — we will be looking at a new term every Tuesday These two Incoterms® are almost identical. When Carriage Paid To (CPT) and Carriage and Insurance Paid To (CIP) are used as the terms of sale, the seller will deliver the goods to a carrier or another named place that is agreed upon by the buyer and the seller. The seller must arrange for and pay the costs of transport o [...]
Read MoreFree Carrier (FCA)
This article is part of our weekly blog series on the Incoterms® Rules — we will be looking at a new term every Tuesday “Free Carrier” (FCA) means the seller will deliver the goods, already cleared for export, to a named place or named carrier specified by the buyer. The named place of delivery is critical to note because it identifies exactly where the seller’s obligation ends and where the buyer’s responsibility begins. The named [...]
Read MoreEx Works (EXW)
This article is part of our weekly blog series on the Incoterms® Rules — we will be looking at a new term every Tuesday “Ex Works” (EXW) means the seller will make the goods available to the buyer at a named place, usually the seller’s factory or warehouse. The buyer must make the arrangements to collect the goods, at the buyer’s expense and risk, and to clear the goods for export. When making a purchase under Ex Works, most of the [...]
Read MoreUyghur Forced Labor Prevention Act (UFLPA)
Summary Implementing Section 307 of the Tariff Act of 1930, the Uyghur Forced Labor Prevention Act prohibits imports of products from the Xinjiang Uyghur Autonomous Region of the People’s Republic of China due to forced labor violations. "Forced labor" is defined by the Tariff Act as “all work or service which is exacted from any person under the menace of any penalty for its nonperformance and for which the worker does not offe [...]
Read MoreIntroduction to Incoterms® Rules
This article is part of our weekly blog series on the Incoterms® Rules — we will be looking at a new term every Tuesday International Commercial terms (“Incoterms®” for short) are a set of three-letter standard trade terms used in international contracts for the sale of goods. Incoterms are widely used in international and domestic commercial transactions, and are essential to understand prior to a shipment. Which terms you and y [...]
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