Difference between DAP and DDP incoterms

DAP, DDU, DDP services for all cargo arriving to Spain via LCL, FCL, or air.

January 2, 2023

In this post we are going to explain the difference between DAP and DDP incoterms.

DAP incoterm

DAP (Delivered at Place) and DDP (Delivered Duty Paid) are both international commercial terms (Incoterms) used to specify the responsibilities of the buyer and seller in international trade transactions. However, there are some key differences between the two.

DAP (Delivered at Place) means that the seller delivers the goods at a named place of destination, typically a terminal or warehouse, and is responsible for all costs and risks associated with delivering the goods to that point. However, the buyer is responsible for unloading the goods from the delivery vehicle and for any costs or risks associated with that process.

DDP incoterm

DDP (Delivered Duty Paid), on the other hand, means that the seller is responsible for all costs and risks associated with delivering the goods to the named destination, including paying any applicable taxes, duties, or customs fees. The seller is also responsible for unloading the goods from the delivery vehicle.

In short, the main difference between DAP and DDP is the responsibility for customs clearance and payment of duties and taxes. Under DDP, the seller is responsible for these costs, while under DAP, the buyer is responsible for these costs.

Observation

Even by incoterms rules unloading must be by account of shipper, the reality in Spain, due regulation transport laws, consignee should be responsible of the unloading unless this term will be clearly specify and hired before shipment is done.