Foreign Trade Requires Professional Terminology.

Ex works (designated place): this term is expressed in EXW (nmed place).

The Seller shall deliver the goods to the buyer at the place of origin or the place of storage of the goods, that is, the delivery obligation is fulfilled, and the buyer is responsible for the shipment of the goods by himself, and bears all the risks, responsibilities and expenses thereof.

Including cargo entry and exit formalities and costs.

This term is the trade term which the seller bears the least obligation. If the buyer can not directly or indirectly handle the exit formalities of the goods, it is not suitable for this way.

2. ship by ship (named port of shipment): this term is expressed in FAS (named port of hipment).

The seller is responsible for delivering the goods to the ship's side nominated by the buyer at the port of shipment. If the ship sent by the buyer can not be landed, the Seller shall be responsible for pporting the goods to the side of the ship by barge, and the Seller shall fulfill the obligation of delivery at the side of the ship.

The formalities and charges for shipping and export clearance are to be borne by the buyer.

If the buyer is unable to handle export procedures directly or indirectly, it is inappropriate to adopt this approach.

3. delivery on the frontier (designated place): this term is expressed in DAF (... Named place).

The seller is responsible for handling the export clearance formalities of the goods and delivering the goods to the designated delivery place at the border (the frontier of the exporting country or the importing country), and the goods are disposed of by the buyer, that is, the delivery obligation is fulfilled.

This term is mainly applicable to land pport pactions between neighboring countries.

But the term itself restrictens the mode of pportation.

4. port of destination (named port of destination): the term DES (...

Named port of destination) representation

The seller is responsible for pporting the goods to the designated port of destination and placing the goods under the buyer's control at the port of destination, that is, the delivery obligation is fulfilled.

DES and CIF share the same price structure, that is, freight rates and insurance premiums are included in the price.

However, the seller and the buyer differ in the division of freight pfer procedures, charges and risks.

Mainly in the following four aspects.

CIF is a symbolic delivery, the buyer should pay the bill, and DES is the actual delivery.

The seller must place the goods under the buyer's actual control and the buyer is responsible for the payment.

The division of responsibilities between costs and risks is different.

CIF is bound by the ship's port of the port of shipment; and DES is the boundary of the pfer of responsibility after the actual delivery of the port of destination.

The nature of insurance is different.

In CIF, the seller's insurance is an obligation, which should be performed according to the same rules or regulations. But the DES seller is buying insurance for himself, not a duty.

The CIF contract is the same as the loading port. It only stipulates the shipping time; the DES contract is the delivery contract.

The arrival time must be specified.

5. port of destination delivery (named port of destination): this term is expressed in DEQ (... Named port of destination).

The seller is responsible for pporting the goods to the named port of destination and unloading it to the port. The Seller shall also be responsible for obtaining the relevant documents for import customs clearance, importing the goods, and placing the goods under the control of the buyer.

Under normal circumstances, the "Duty Paid" should be added after DEQ, that is, the Seller shall pay import duties, import value-added tax and other taxes.

If the parties agree that the seller does not pay VAT, the "VAT Unpaid" should be added.

If the parties agree that the buyer is responsible for customs clearance and customs duties, the "Duty UnPaid" should be added.

6. unpaid delivery (named place of destination): this term is expressed in DDU (... Named place of destination).

The Seller shall deliver the goods to the designated place of the importing country, and shall be disposed of by the buyer, and the Seller shall bear the costs and risks of the goods being delivered to the place (excluding duties, taxes and other official fees payable on import, and the costs and risks of going through customs formalities).

The buyer must bear the additional costs and risks arising from his failure to process customs clearance procedures in advance.

The term is applicable to all modes of pportation. In actual business, goods are loaded in containers.

7. duty paid delivery (designated place of origin): this term is expressed in DDP (. Named Place of destination).

The seller delivers the goods to the designated place of the importing country and is disposed of by the buyer.

The Seller shall also bear all risks, responsibilities and expenses before delivery, including the procedures and charges for import declaration, and import duties and other taxes.

Contrary to EXW, DDP is the trade terminology of the seller.

This term applies to all modes of pportation.

In actual business, goods are loaded in containers.