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DAP
Also Known As: Delivered at Place
DAP means the seller is responsible for delivering the goods to the destination, but the buyer must pay any import duties and taxes. The shipment may be held by the carrier until these charges are paid.
DAP reduces upfront costs for the seller compared to DDP, but can create friction for customers if they are not expecting to pay fees on delivery. This is commonly used when shipping internationally to markets where customers are familiar with import charges.
Related Terms
CPT / CIP
CPT means the seller pays for shipping to a destination, but risk transfers to the buyer once the goods are handed to the carrier. CIP is similar, but the seller also provides insurance for the shipment.
FCA
FCA means the seller delivers the goods to a carrier or agreed location, after which the buyer takes responsibility for transport, customs, and risk.
EXW
EXW means the seller makes the goods available at their premises, and the buyer is responsible for all transport, customs, and risk from that point onwards.
DDP
DDP means the seller is responsible for the entire delivery process, including shipping, customs clearance, duties, and taxes. The order is delivered to the customer fully cleared, with no additional charges on delivery.
