DDP vs DAP
Key Difference
Under DDP, the seller covers everything including import duties. Under DAP, import clearance and duties are the buyer's responsibility.
When to use DDP?
DDP suits sellers who want to offer a true door-to-door, no-surprise-costs experience and are comfortable with the destination country's customs process.
When to use DAP?
DAP is the safer choice when the seller doesn't want to become the importer of record in a foreign country.
Full Comparison
DDP – Delivered Duty Paid
Any Transport Mode- Seller's Responsibility
- Maximum seller obligation: delivers the goods at destination, bearing all costs and risk including import clearance and duties.
- Buyer's Responsibility
- Usually limited to unloading only (unless otherwise agreed).
- Risk Transfer Point
- When the goods are placed at the buyer's disposal, ready for unloading, at the named destination.
PackagingSeller
Export ClearanceSeller
Origin Inland TransportSeller
Main Carriage (Freight)Seller
Insurance—
Import ClearanceSeller
Destination Inland TransportSeller
Duties & TaxesSeller
DAP – Delivered At Place
Any Transport Mode- Seller's Responsibility
- Delivers the goods, ready for unloading, at the named destination; bears all costs and risk except import clearance and duties.
- Buyer's Responsibility
- Handles import clearance, duties/taxes, and unloading at destination.
- Risk Transfer Point
- When the goods are placed at the buyer's disposal, ready for unloading, at the named destination.
PackagingSeller
Export ClearanceSeller
Origin Inland TransportSeller
Main Carriage (Freight)Seller
Insurance—
Import ClearanceBuyer
Destination Inland TransportSeller
Duties & TaxesBuyer
Frequently Asked Questions
Under DDP, the seller covers everything including import duties. Under DAP, import clearance and duties are the buyer's responsibility.