INCOTERMS 2020 : what’s news ?

For the past four years, the ICC has been working on the 2020 version of Incoterms®. 

This new version came into force on 1 January 2020, with the primary objective of facilitating their use and improving their understanding, while considering changes in commercial practice and international contractual relations.

Although the ICC did not ultimately revolutionise the structure of Incoterms® or their number, it brought useful and pragmatic changes to adapt them to the needs of today’s users.

Are you familiar with the new DPU term ?

The term known as DAT in the previous version of Incoterms® (“Delivered At Terminal”) now becomes DPU (“Delivered at Place Unloaded”). 

Just as its equivalent “DAT” in the 2010 version, DPU appears the only Incoterm® requiring the seller to unload the goods at destination.

The place of delivery is no longer necessarily a terminal but any place where the unloading of the goods is possible as contractually agreed by the parties. This new Incoterm 2020 therefore adapts to the reality of users and grants the parties more flexibility in the organisation of unloading.

As for the customs clearance of the goods for export, if applicable, it will be at the sellers’ expense, as all the costs occurring prior to delivery.