The Incoterm DDP (Delivered Duty Paid) places the maximum obligation on the seller. Under DDP, the seller is responsible for delivering the goods to the named destination in the buyer's country. This responsibility includes all costs and risks, such as transportation, insurance, and crucially, clearing the goods for import, which involves paying any applicable duties and taxes. The risk only transfers to the buyer once the goods have arrived at the destination (e.g., the buyer's premises) and are ready for unloading. This perfectly matches the scenario described in the question.

A. DAT – Delivered At Terminal: The seller's responsibility ends once goods are unloaded at a named terminal, and the buyer handles import customs clearance. (Note: DAT was replaced by DPU in Incoterms 2020).

B. DAP – Delivered At Place: The seller delivers to the named place, but the buyer is responsible for import customs clearance and paying any duties.

D. FAS – Free Alongside Ship: This is a sea freight term where the seller's responsibility ends once goods are placed alongside the vessel at the port of origin.

1. International Chamber of Commerce (ICC). (2019). Incoterms® 2020: ICC rules for the use of domestic and international trade terms. ICC Publication No. 723E. The official text for DDP (Delivered Duty Paid) states

"the seller delivers the goods when the goods are placed at the disposal of the buyer

cleared for import... at the named place of destination. The seller bears all the costs and risks involved in bringing the goods to the place of destination and has an obligation to clear the goods not only for export but also for import

to pay any duty for both export and import and to carry out all customs formalities." (Guidance Note

DDP).

2. Goldsby

T. J.

& Iyengar

D. (2021). The Definitive Guide to Transportation: Principles

Strategies

and Decisions for the Effective Flow of Goods and Services. Pearson FT Press. Chapter 11

"International Transportation

" explains that DDP represents the highest level of service and obligation for the seller

as they are responsible for all activities

including import clearance and duty payment

until the goods reach the buyer's designated location.

3. University of Tennessee

Knoxville. Haslam College of Business

Global Supply Chain Institute. (2020). Incoterms 2020: A GSCI White Paper. This paper clarifies the division of responsibilities. On page 11

it specifies that under DDP

the seller is responsible for "Import clearance & duties

" distinguishing it from DAP where this responsibility falls to the buyer.