Key Takeaways: Responsibilities in Shipping Services
Here’s a simplified breakdown of who handles what in each shipping service type, making it easier for you to understand and choose the right option for your needs:
Shipping Service Type |
Pickup by |
Main Carriage by |
Delivery by |
Recommended Incoterms |
Door-to-Door |
Seller’s Freight Forwarder |
Seller’s Freight Forwarder |
Seller’s Freight Forwarder |
DAP (Delivered at Place) |
Door-to-Port |
Seller’s Freight Forwarder |
Seller’s Freight Forwarder |
Buyer at Destination Port |
DPU, CIP, CPT |
Port-to-Port |
Seller at Origin Port |
Shipping Carrier |
Buyer at Destination Port |
CIF (Cost, Insurance, and Freight) |
Port-to-Door |
Seller at Origin Port |
Shipping Carrier |
Buyer’s Freight Forwarder |
CPT, DDP |
Each row clearly outlines the roles different parties play in the shipping process, whether you’re sending goods door-to-door, door-to-port, port-to-port, or port-to-door. Plus, you’ll find the Incoterms that are best suited for each service type. Keep this table handy as a reference when planning your next shipment.
Matching Movement Types with Incoterms
Knowing which Incoterms align with your shipping service can optimize your logistics and clarify responsibility during transport.
Door-to-Door Incoterm
For door-to-door, DAP (Delivered at Place) is your best bet, placing delivery responsibility squarely on the seller.
Door-to-Port Incoterm
When it comes to door-to-port, you’ve got options:
- DPU (Delivered at Place Unloaded) keeps things straightforward, with the seller bearing the cost and risk.
- CIP (Carriage and Insurance Paid To) splits the bill, transferring risk once the goods are unloaded.
- CPT (Carriage Paid To) has the seller in charge until the port, much like door-to-port shipping itself.
Port-to-Port Incoterm
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Port-to-port goes hand in hand with CIF (Cost, Insurance, and Freight), with the seller responsible right up to the destination port.
Port-to-Door Incoterm
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For port-to-door journeys, consider:
- CPT, where the seller’s job ends at the buyer’s chosen spot.
- DDP (Delivered Duty Paid), ensuring the seller takes care of everything, including delivery to the buyer’s location.
Choose the right combination of service and Incoterm to keep your international shipping on track.