In autumn 2019 the International Chamber of Commerce ICC published the Incoterms 2020. The new regulations will enter into force on January 1, 2020. The ICC has made numerous changes and adapted several clauses in detail to current business practice. Here you can find out what will change with the Incoterms 2020.
Clauses of the Incoterms 2020
The Incoterms 2020 continue to have eleven clauses, seven of which apply to all transport and four to shipping.
Clauses for all modes of transport
The biggest change in the general clauses is certainly the elimination of the DAT clause. This was replaced by the clause DPU (Delivered at Place Unloaded). The goods are no longer deemed to have been delivered when they reach the specified terminal, but only when they reach their specific destination and have been unloaded.
The Incoterms clauses 2020 for all modes of transport are, according to their order:
|CPT||Carriage Paid To|
|CIP||Carriage and Insurance Paid|
|DAP||Delivered at Place|
|DPU||Delivered at Place Unloaded|
|DDP||Delivered Duty Paid|
An important change concerns the CIP clause. From 2020, the seller will be subject to the Cargo Clauses A institutes, with which all risks must be insured.
Incoterms 2020 for ship transport:
Unlike the CIP clause, the CIF clause has not changed much. The Cargo Clauses C institutes, i.e. the minimum insurance cover, continue to apply.
The Incoterms clauses 2020 for sea and inland waterway transport are, according to their order:
|FAS||Free Alongside Ship|
|FOB||Free On Board|
|CFR||Cost And Freight|
|CIF||Cost Insurance Freight|
You can order the exact Incoterms 2020 clauses as a book, e-book or wall map directly on the official Incoterms 2020 website.