Buyer guide
Incoterms for Massager Importers
Incoterms 2020 contains 11 delivery rules that allocate defined responsibilities, costs and risk.
More context
Seven apply to any transport mode and 4 are for sea and inland-waterway transport. The named place and selected rule explain the delivery boundary; product specification, payment, title and remedies remain separate parts of the purchase contract.
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Facts to compare
| Data point | Value or status | Source scope |
|---|---|---|
| Framework | Incoterms 2020 | ICC rules |
| Rule count | 11 | Version-specific |
| FOB | Named shipment port | Sea/inland-waterway rule |
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Purchasing considerations
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Article steps and reading order
- 1. Transport arrangement
The actual mode and named place anchor the delivery rule.
- 2. Risk transfer
The risk point can differ from the place to which transport is paid.
- 3. Customs roles
Export and import responsibilities follow the selected rule and legal capacity.
- 4. Contract remainder
Specification, payment, title and remedies remain separate contract matters.
- 5. Comparable quotations
A common delivery boundary makes price comparisons intelligible.
What a complete offer makes clear
- Transport arrangement
The actual mode and named place anchor the delivery rule.
- Customs roles
Export and import responsibilities follow the selected rule and legal capacity.
- Comparable quotations
A common delivery boundary makes price comparisons intelligible.
Official framework and stated scope
- ICC Incoterms rules
https://iccwbo.org/business-solutions/incoterms-rules/
- Scope of the source
ICC is the source of the Incoterms rules. A delivery rule's defined scope does not replace the full purchase contract or establish a supplier's offered service.
Buyer guide
Selection guide
What does an Incoterm actually settle?
An Incoterm allocates defined delivery responsibilities, costs and risk; it does not create a complete purchase contract. The rule, named place and version work together. Payment, title, technical acceptance and warranty remain separate contract topics. Incoterms 2020 includes 11 rules, with different rules designed for different transport arrangements. A sea-only term is not a generic label for every export shipment. The moment risk transfers can also differ from the endpoint to which a seller pays carriage. These distinctions explain why a familiar acronym can still leave a buyer with a materially different commercial exposure. The useful buying conclusion is that price comparison works only when the rule and named place describe the same scope.
Why do FOB and DDP produce different buying offers?
FOB and DDP describe different responsibility boundaries, rather than merely cheaper and more expensive freight. FOB applies to sea or inland-waterway transport and names a shipment port. DDP names a destination place and places broad delivery obligations on the seller, including import-related responsibilities under the rule. The actual arrangement must be legally and operationally possible. A quote described as all-inclusive does not by itself resolve the importer of record, tax treatment or every local requirement. For containerized handover, another rule such as FCA may describe the actual transport arrangement more accurately than habitual use of FOB. The sales contract still governs matters outside the delivery rule, such as product specification, payment, ownership and remedies.
Purchasing FAQ
Common buying questions
Which version is discussed?
Incoterms 2020 is the named framework.
How many rules are in that version?
Incoterms 2020 contains 11 delivery rules, each with its own allocation of defined responsibilities.
Does an Incoterm set payment terms?
No. Payment remains a separate contract subject.
Can FOB describe any air shipment?
No. FOB is a sea or inland-waterway rule.
What does an Incoterm actually settle?
The rule, named place and version work together. Payment, title, technical acceptance and warranty remain separate contract topics.
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