See Also:
Freight on Board (FOB)
Ex Works (EXW)
Delivery Order
Delivered Duty Unpaid (DDU)
Cost of Goods Sold (COGS)
Delivered Duty Paid (DDP) Definition
Delivered Duty Paid or DDP means that a seller or vendor has assumed all of the liability as well as the costs associated with transportation internationally.
Delivered Duty Paid (DDP) Meaning
DPP means that a vendor has agreed to a contract with an overseas or international partner to assume all of the liability and transportation costs. In addition, the concept of delivered duties paid is almost the exact same as freight on board or Ex Works. When a DDP agreement has been met, the buyer will not assume any transportation costs or liability until the goods have been delivered to the country. Delivery within the country is the buyer or customer’s responsibility unless otherwise specified in the delivered duty paid contract. Furthermore, such terms are often worked out in a delivered duties paid contract. Finally, most of the transportation costs associated with a DDP transaction are import/export tariffs along with normal operational cost of a truck or container ship.
