Incoterms® 2020 are a set of eleven international rules of responsibilities of sellers and buyers. These rules specify who is responsible for payments, shipment management, insurance, documentation, customs clearance, etc.
Eleven Incoterms® 2020 rules are:
EXW - Ex Works (insert place of delivery)
FCA - Free Carrier (Insert named place of delivery)
CPT - Carriage Paid to (insert place of destination)
CIP - Carriage and Insurance Paid To (insert place of destination)
DAP - Delivered at Place (insert named place of destination)
DPU - Delivered at Place Unloaded (insert of a place of destination)
DDP - Delivered Duty Paid (Insert place of destination)
FAS - Free Alongside Ship (insert name of the port of loading)
FOB - Free on Board (insert named port of loading)
CFR - Cost and Freight (insert named port of destination)
CIF - Cost Insurance and Freight (insert named port of destination)
The latest version of the Incoterms® 2020 rules is published by the International Chamber of Commerce (ICC). As of January 1, 2020, all sales contracts should include references to the Incoterms® 2020 rules. You may obtain Incoterms® 2020 rules by visiting the ICC website.