How incoterms shift cost, risk, and documentation responsibility between buyer and seller.
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Under EXW, the seller makes goods available at their premises. The buyer arranges inland China transport, export clearance, freight, insurance, import duty, and destination delivery. Common for experienced buyers with their own China logistics partners.
FOB is widely used for sea shipments. The seller delivers goods on board at the named port; the buyer takes responsibility from that point for ocean freight, insurance, import clearance, and inland delivery.
CIF includes cost, insurance, and freight to the destination port. DDP pushes responsibility furthest toward the seller, including import duty and delivery. Always confirm what is included in the quoted CIF or DDP line items before comparing suppliers.
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