Incoterms 2020
EXW vs DDP
Compare Ex Works and Delivered Duty Paid side by side: who pays freight, where risk transfers, and who clears customs.
| Field | EXW | DDP |
|---|---|---|
| Applies to | Any mode, including multimodal | Any mode, including multimodal |
| Risk transfers to buyer | When the goods are placed at the buyer's disposal at the seller's premises, not loaded onto the collecting vehicle. | When the goods arrive at the named destination, ready for unloading. |
| Main carriage paid by | Buyer | Seller |
| Insurance | No party is obliged to insure. The buyer bears risk from the seller's premises and should arrange cover. | No party is obliged to insure. The seller carries risk to destination and should insure. |
| Export clearance | Buyer | Seller |
| Import clearance and duties | Buyer | Seller |
| Seller handles | Make the goods available at their own premises. This is the seller’s minimum obligation. | Everything, including import clearance and duties, delivered to the buyer’s place ready for unloading. |
| Buyer handles | Everything else: loading, export clearance, main carriage, insurance, import clearance, and delivery. | Take delivery and unload. Effectively nothing else. |
| Best for | Buyers with their own logistics who want maximum control. Note that putting export clearance on the buyer is awkward, so FCA is often preferred. | Buyers who want zero import hassle. The seller must be able to clear customs in the buyer’s country. |
Fields that differ are highlighted in teal. General guidance only, not legal advice. Your sales contract governs. Based on Incoterms 2020.
EXW vs DDP questions
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