Post on 12-Sep-2018
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International Commercial Terms ( INCOTERMS )Ex Works
Ex means from. Works means factory, mill or warehouse, which is the seller's premises. EXW applies to goods available only at the seller's premises. Buyer is responsible for loading the goods on truck or container at the seller's premises, and for the subsequent costs and risks.
In practice, it is not uncommon that the seller loads the goods on truck or container at the seller's premises without charging loading fee.
In the quotation, indicate the named place (seller's premises) after the acronym EXW, for example EXW Kobe and EXW San Antonio.
The term EXW is commonly used between the manufacturer (seller) and export-trader (buyer), and the export-trader resells on other trade terms to the foreign buyers. Some manufacturers may use the term Ex Factory, which means the same as Ex Works.
FCA {+ the named point of departure}Free Carrier
The delivery of goods on truck, rail car or container at the specified point (depot) of departure, which is usually the seller's premises, or a named railroad station or a named cargo terminal or into the custody of the carrier, at seller's expense. The point (depot) at origin may or may not be a customs clearance center. Buyer is responsible for the main carriage/freight, cargo insurance and other costs and risks.
In the air shipment, technically speaking, goods placed in the custody of an air carrier is considered as delivery on board the plane. In practice, many importers and exporters still use the term FOB in the air shipment.
The term FCA is also used in the RO/RO (roll on/roll off) services.
In the export quotation, indicate the point of departure (loading) after the acronym FCA, for example FCA Hong Kong and FCA Seattle.
Some manufacturers may use the former terms FOT (Free On Truck) and FOR (Free On Rail) in selling to export-traders.
FAS {+ the named port of origin}Free Alongside Ship
Goods are placed in the dock shed or at the side of the ship, on the dock or lighter, within reach of its loading equipment so that they can be loaded aboard the ship, at seller's expense. Buyer is responsible for the loading fee, main carriage/freight, cargo insurance, and other costs and risks.
In the export quotation, indicate the port of origin (loading) after the acronym FAS, for example FAS New York and FAS Bremen.
The FAS term is popular in the break-bulk shipments and with the importing countries using their own vessels.
FOB {+ the named port of origin}Free On Board
The delivery of goods on board the vessel at the named port of origin (loading), at seller's expense. Buyer is responsible for the main carriage/freight, cargo insurance and other costs and risks.
In the export quotation, indicate the port of origin (loading) after the acronym FOB, for example FOB Vancouver and FOB Shanghai.
Under the rules of the INCOTERMS 1990, the term FOB is used for ocean freight only. However, in practice, many importers and exporters still use the term FOB in the air freight.
In North America, the term FOB has other applications. Many buyers and sellers in Canada and the U.S.A. dealing on the open account and consignment basis are accustomed to using the shipping terms FOB Origin and FOB Destination.
FOB Origin means the buyer is responsible for the freight and other costs and risks. FOB Destination means the seller is responsible for the freight and other costs and risks until the goods are delivered to the buyer's premises, which may include the import customs clearance and payment of import customs duties and taxes at the buyer's country, depending on the agreement between the buyer and seller.
In international trade, avoid using the shipping terms FOB Origin and FOB Destination, which are not part of the INCOTERMS (International Commercial Terms).
CFR {+ the named port of destination}Cost and Freight
The delivery of goods to the named port of destination (discharge) at the seller's expense. Buyer is responsible for the cargo insurance and other costs and risks. The term CFR was formerly written as C&F. Many importers and exporters worldwide still use the term C&F.
In the export quotation, indicate the port of destination (discharge) after the acronym CFR, for example CFR Karachi and CFR Alexandria.
Under the rules of the INCOTERMS 1990, the term Cost and Freight is used for ocean freight only. However, in practice, the term Cost and Freight (C&F) is still commonly used in the air freight.
CIF {+ the named port of destination}Cost, Insurance and Freight
The cargo insurance and delivery of goods to the named port of destination (discharge) at the seller's expense. Buyer is responsible for the import customs clearance and other costs and risks.
In the export quotation, indicate the port of destination (discharge) after the acronym CIF, for example CIF Pusan and CIF Singapore.
Under the rules of the INCOTERMS 1990, the term CIF is used for ocean freight only. However, in practice, many importers and exporters still use the term CIF in the air freight.
CPT {+ the named place of destination}Carriage Paid To
The delivery of goods to the named place of destination (discharge) at seller's expense. Buyer assumes the cargo insurance, import customs clearance, payment of customs duties and taxes, and other costs and risks.
In the export quotation, indicate the place of destination (discharge) after the acronym CPT, for example CPT Los Angeles and CPT Osaka.
CIP {+ the named place of destination}Carriage and Insurance Paid To
The delivery of goods and the cargo insurance to the named place of destination (discharge) at seller's expense. Buyer assumes the import customs clearance, payment of customs duties and taxes, and other costs and risks.
In the export quotation, indicate the place of destination (discharge) after the acronym CIP, for example CIP Paris and CIP Athens.
DAF {+ the named point at frontier}Delivered At Frontier
The delivery of goods to the specified point at the frontier at seller's expense. Buyer is responsible for the import customs clearance, payment of customs duties and taxes, and other costs and risks.
In the export quotation, indicate the point at frontier (discharge) after the acronym DAF, for example DAF Buffalo and DAF Welland.
DES {+ the named port of destination}Delivered Ex Ship
The delivery of goods on board the vessel at the named port of destination (discharge), at seller's expense. Buyer assumes the unloading fee, import customs clearance, payment of customs duties and taxes, cargo insurance, and other costs and risks.
In the export quotation, indicate the port of destination (discharge) after the acronym DES, for example DES Helsinki and DES Stockholm.
DEQ {+ the named port of destination}Delivered Ex Quay
The delivery of goods to the quay (the port) at destination at seller's expense. Seller is responsible for the import customs clearance and payment of customs duties and taxes at the buyer's end. Buyer assumes the cargo insurance and other costs and risks.
In the export quotation, indicate the port of destination (discharge) after the acronym DEQ, for example DEQ Libreville and DEQ Maputo.
DDU {+ the named point of destination}Delivered Duty Unpaid
The delivery of goods and the cargo insurance to the final point at destination, which is often the project site or buyer's premises, at seller's expense. Buyer assumes the import customs clearance and payment of customs duties and taxes. The seller may opt not to insure the goods at his/her own risks.
In the export quotation, indicate the point of destination (discharge) after the acronym DDU, for example DDU La Paz and DDU Ndjamena.
DDP {+ the named point of destination}Delivered Duty Paid
The seller is responsible for most of the expenses, which include the cargo insurance, import customs clearance, and payment of customs duties and taxes at the buyer's end, and the delivery of goods to the final point at destination, which is often the project site or buyer's premises. The seller may opt not to insure the goods at his/her own risks.
In the export quotation, indicate the point of destination (discharge) after the acronym DDP, for example DDP Bujumbura and DDP Mbabane.
Abbreviations, Acronyms and SymbolsSymbol,
Sign or Mark Stands For
& And
@ At; Each
X By (in measurement); Multiply
¢ Cent; Penny
(C) [or] © Copyright
° Degree
$ Dollar
/ Each; Per
' Foot
" Inch
> Larger than; Greater than
µ Micro
# Number
% Percent
£ Pound Sterling (British currency)
(R) [or] ® Registered
SM Service mark
< Smaller than; Less than
TM Trademark
¥ Yen (Japanese currency)
AAbbreviationor Acronym Stands For
a.k.a. Also known as
a.m. [or] am Ante meridiem (before noon)
A.R. All risks [in insurance]
A/S [or] a/s As stated
abbrev. Abbreviated; Abbreviation
AC [or] A.C. After Christ; Alternating current
ACS Association of Caribbean States
AD Advertisement;Anno Domini (In the year of our Lord)
ADB African Development Bank;Asian Development Bank
AISI American Iron & Steel Institute
amp. [or] A Ampere
Amt. Amount
ANSI American National Standards Institute
APEC Asia Pacific Economic Cooperation
API American Petroleum Institute
approx. Approximate; Approximately
AQL [or] A.Q.L. Acceptable quality level
art. Article
asap As soon as possible
ASEAN Association of Southeast Asian Nations
ASME American Society for Mechanical Engineers
ASTM American Society for Testing and Materials
ATA Admission temporaire- temporary admission
attn. Attention
AWB Air waybill
AWG American wire gauge
B
Abbreviationor Acronym Stands For
B.I. Black iron
B/L [or] BL Bill of lading
BAF Bunker adjustment factor
BBS [or] EBBS Electronic bulletin board service
BC [or] B.C. Before Christ
BENELUX Belgium-Netherlands-Luxembourg
BLAI B/L application-instructions
blvd. Boulevard
BMX Bicycle motocross
B.O. Bad order
BP Boiling point; British Pharmacopoeia
BPT British Preferential Tariff
BS British Standards
BSF British standard fine
BSP British standard pipe
BSPT British standard pipe taper
BSW British standard Whitworth
BTI Binding tariff information
BTN Brussels Tariff Nomenclature
Btu [or] BTU British thermal unit
BWG Birmingham wire gauge
C
Abbreviationor Acronym Stands For
°C Celsius (degree temperature)
C&F Cost and freight
C&FC Cost, freight and commission
c.c. [or] cc Carbon copy; Cubic centimeter
CWO Cash with order; Cheque with order
C/No. Carton number; Case number
c/o Care of; Certificate of origin;
Country of origin
c/s Cases; Cycles per second
C/T Cable transfer; Carton
CAD Cash against documents;Computer-aided design
CADD Computer-aided design and drafting
CAI Computer assisted instruction
CAF Currency adjustment factor
CAM Computer-aided manufacturing
cap. Capacity; Capital
CARICOM Caribbean Community and Common Market
cat. Catalog (Catalogue)
CBM Cubic meter
CCCN Customs Cooperation Council Nomenclature
CE Conformité Européenne (EC stamp of approval)
CEN Comité Européen de Normalisation (European Committee for Standardization)
CENELEC Comité Européen de Normalisation Électrotechnique (European Committee for Electrotechnical Standard)
CFR Cost and freight
CFS Container freight station
CI Commercial invoice
cir. Circa (about); Circle
CID Cash in advance
CIF Cost, insurance and freight
CIF&C [or] CIFC Cost, insurance, freight and commission
CIP Carriage and insurance paid to
CIS Commonwealth of Independent States
CITES Convention on International Trade of Endangered Species
CKD Completely knockdown
CL Carload
CLT Container load trailer
cm Centimeter
CNC Computer numerical control
CO [or] c/o Country of origin
co. Company
COD Cash on delivery; Collect on delivery
COFC Container on flat car
corp. Corporation
CPI Characters per inch;Consumer price index
CPT Carriage paid to
Cr-Mo Chromium-molybdenum
CRT Cathode ray tube
Cr-V Chromium-vanadium
CSA Canadian Standards Association
Ct. Court
ctn. [or] C/T Carton
cu. ft. [or] cft. Cubic feet (plural);Cubic foot (singular)
cwt Hundredweight
CY Container yard
D
Abbreviationor Acronym Stands For
D.R. [or] DR Delivery receipt
D/A Documents against acceptance
D/P Documents against payment
DAF Delivered at frontier
DC Direct current; Documentary credit;Dopo Christo (after Christ)
DDP Delivered duty paid
DDU Delivered duty unpaid
deg. [or] ° Degree
DEQ Delivered ex quay
DES Delivered ex ship
dia. Diameter
DIN Deutsches Institut für Normung (German Standards Institute);Drug identification number
DIY Do-it-yourself
DM Deutsche Mark (German currency)
do. Ditto (same as above)
DOA [or] D/A Documents on acceptance
DOP [or] D/P Documents on payment
doz. [or] dz. Dozen
Dr. Drive
DST Daylight saving time
Dwt Deadweight
E
Abbreviationor Acronym Stands For
E.&O.E. Errors and omissions excepted
e.g. Exempli gratia (for example)
e-mail Electronic mail
ea. each
EAN International Article Numbering(formerly European Article Numbering)
EBBS [or] BBS Electronic bulletin board service
EBRD European Bank for Reconstruction and Development
EC East Caribbean; European Community
EC Dollar East Caribbean Dollar
ECB European Central Bank
EFTA European Free Trade Agreement;European Free Trade Association
EMC Export management company
encl. Enclosure
EPZ Export processing zone
ESCAP Economic and Social Commission for Asia and the Pacific (United Nations)
EST Eastern standard time
ETA Estimated (expected) time of arrival
etc. Et cetera (and so forth)
ETD Estimated (expected) time of departure
ETS Estimated (expected) time of sailing
EXW Ex works
F
Abbreviationor Acronym Stands For
°F Fahrenheit (degree temperature)
F.C.&S. Free of capture and seizure
F.P.A. [or] FPA Free of particular average
F.S.R.&C.C. Free of strikes, riots and civil commotions
FAK Freight all kinds
FAO Food and Agriculture Organization
FAS Free alongside ship
fax Facsimile
FCA Free carrier
FCL Full carload; Full container load
FI Free in
FIFO First in, first out
FIO Free in and out
FO Free out
FOB Free on board
FOR Free on rail
FOT Free on truck
FPA Free of particular average (in insurance)
Franc CFA Franc de la Colonies Francais d'Afrique;Franc de la Communauté Financière Africaine
Franc CFP Franc des Comptoirs Francais du Pacifique
FRP Fiberglass reinforced plastic
FT Free trade
ft. [or] ' Feet (plural); Foot (singular)
FTL Full truckload
FTZ Foreign trade zone; Free trade zone
G
Abbreviationor Acronym Stands For
G.A. General average
G.I. Galvanized iron
G.W. [or] Gr. Wt. Gross weight
galv. Galvanized
GATT General Agreement on Tariffs and Trade
GCC Gulf Cooperation Council
GDP Gross domestic product
gm. Gram
GMT [or] G.M.T. Greenwich Mean Time
gr. Grade; Grain; Gross
GS Geprüft Standard (TÜV tested standard)
GSP Generalised System of Preferences
H
Abbreviationor Acronym Stands For
h.p. Horsepower
H.R. Hot rolled; Human resources
HAWB House air waybill
HB Brinell hardness number
HCV Home consumption value
hicube High cube container
HRC Rockwell hardness (C scale)
HS Harmonized System (Harmonized Commodity Description and Coding System);Shore scleroscope number
HSS High speed steel
HTSUS Harmonized Tariff Schedule of the United States
HV Vickers hardness number
Hz Hertz (cycles per second)
I
Abbreviationor Acronym Stands For
i.a. Inter alia (among other things)
i.d. [or] id Identification; Inside diameter
i.e. Id est (that is)
IAI Insurance application-instructions
IATA International Air Transport Association
ibid. [or] ib. Ibidem (in the same place)
IBRD International Bank for Reconstruction and Development
IC Integrated circuit
ICAO International Civil Aviation Organization
ICC International Chamber of Commerce
IDA International Development Association
IEC International Electrotechnical Commission
IEEE Institute of Electrical and Electronic Engineers
IFAD International Fund for Agricultural Development
ILO International Labor Organization
IMF International Monetary Fund
IMO International Maritime Organization
in. [or] " Inch
inc. Incorporated; Incorporation
INCOTERMS International commercial terms
IRU International Road Transport Union
ISBN International standard book number
ISIC International Standard Industrial Classification
ISO International Organization for Standardization
ISSN International standard serial number
ISWG Imperial standard wire gauge
IT Information technology
ITC International Trade Center;International Transport Conventions
ITU International Telecommunication Union
IUCN International Union for Conservation of Nature and Natural Resources
J
Abbreviationor Acronym Stands For
JETRO Japan External Trade Organization
JIS Japanese Industrial Standards
K
Abbreviationor Acronym Stands For
K Karat (carat); Kilo-; Thousand
°K Kelvin (degree temperature)
KD Knockdown
kg. Kilogram
KHz Kilohertz
km. Kilometer
kph Kilometers per hour
kW Kilowatt
kWh Kilowatt-hour
L
Abbreviationor Acronym Stands For
L. [or] l. Liter
L/C [or] LC Letter of credit
LAN Local area network
LASH Lighter aboard ship
lb. Libra (pound)
LCD Liquid crystal display
LCL Less than carload;Less than container load;Loose carload;loose container load
LED Light emitting diode
LIFO Last in, first out
LNG Liquefied natural gas
LO/LO Lift on/lift off
LPG Liquefied petroleum gas
Ltd. Limited
LTL Less than truckload; loose truckload
LWB Liner waybill
M
Abbreviationor Acronym Stands For
m [or] M Meter
M.V. [or] MV [or] M/V Merchant vessel; Motor vessel
MAWB Master air waybill
max. maximum
MDF Medium density fiberboard
meas. Measurement
memo Memorandum
Messrs. Messieurs (gentlemen)
mfg. Manufacturing
MFN Most Favored Nation
mftr. [or] mfr. Manufacturer
MHz Megahertz
MIG Metal inert gas
min. Minimum; Minute
misc. Miscellaneous
ml. [or] mL Milliliter
MLB Micro-landbridge (microbridge)
mm. Millimeter
MNC Multinational company (or corporation)
mph Miles per hour
MT Metric ton
N
Abbreviationor Acronym Stands For
n.a. [or] N/A Not applicable; Not available
N.W. [or] Nt. Wt. Net weight
NAFTA North American Free Trade Agreement
NB Nota bene (note well)
NBR Acrylonitrile-butadiene rubber
NCV No commercial value
NES [or] N.E.S. Not elsewhere specified (or stated)
NIC Newly industrializing country
no. Número (number)
NOS Not otherwise specified (or stated)
NPT National pipe tapered
NSF Not sufficient fund
NTB Non-tariff barrier
NVD No value declared
NVO Nonvessel owner;Nonvessel owning carrier
NVOCC Nonvessel operating common carrier
O
Abbreviationor Acronym Stands For
o.d. Outside diameter
OCP Overland common point
OCR Optical character recognition
ODM Original design manufacturing
OECD Organization for Economic Cooperation and Development
OEM Original equipment manufacturer
OPEC Organization of Petroleum Exporting Countries
OSHA Occupational Safety and Health Administration
oz. Ounce
P
Abbreviationor Acronym Stands For
p.a. Per annum (per year)
p.m. [or] pm Post meridiem (after noon)
P.O. [or] PO Postal order; Post office; Purchase order
pat. Patent
PC Personal computer; Printed circuit
pc. Piece
PI [or] P/I Pro forma invoice
PKD Partly (or partially) knockdown
pkg. Package
PL [or] P/L Packing list
pl. Place
P&L Profit and loss
PLC Personal lines of credit;Product life cycle
POS Point of sale
PPI Producer (wholesale) price index
ppm Parts per million
pref. Prefecture; Preference; Preferred
prov. Province
PS Post scriptum (postscript)
psi Pounds per square inch
pt. Pint; Point
PTO Please turn over
pwt Pennyweight
PX Post exchange
Q
Abbreviationor Acronym Stands For
Q.A. [or] QA Quality assurance
Q.C. [or] QC Quality control
q.v. Quod vide (which see)
qlty. Quality
qt. Quart
qtr. Quarter
qty. Quantity
R
Abbreviationor Acronym Stands For
°r Réaumur (degree temperature)
°R Rankine (degree temperature)
R&D Research and development
R.S.V.P. Répondez s'il vous plait (please reply)
RE Concerning; With reference to
ref. Reference
reg. Registered; Registration; Regular
rev. Revised; Revision; Revolution
RLV Recommended load volume
Rm. Room
RO/RO [or] RORO Roll on/roll off
ROI Return on investment
rpm [or] r.p.m. Revolutions (or rotations) per minute
RTW Ready to wear
S
Abbreviationor Acronym Stands For
S.R.&C.C. Strikes, riots, and civil commotions
S/S [or] S.S. [or] SS
Stainless steel; Steamship (ocean vessel)
SAA Standards Association of Australia
SAE Society of Automotive Engineers
SBR Styrene-butadiene rubber
SC [or] S/C Sales confirmation; Sales contract
SI Système International d'Unités (International System of Units)
SIC (U.S.) Standard Industrial Classification
SITC Standard International Trade Classification
SKD Semi-knockdown
SKU Stock keeping unit; Stock unit
SLC Shipper's letter of instructions
SM Service mark
SME Small and medium-sized enterprise
SO [or] S/O Shipping order
spec. Specification
SS Svensk Standard (Swedish Standard)
St. Saint; Street
std. Standard
stk. Stock
SWG Standard wire gauge
SWIFT Society for Worldwide Interbank
Financial Telecommunication
T
Abbreviationor Acronym Stands For
3D Three dimensional
T.P.&N.D. Theft, pilferage and non-delivery
T.R. Trust receipt
T/T Telegraphic transfer
TCT Tungsten carbide tip
telex Teletype exchange (Teleprinter and exchange)
TEU Twenty-foot equivalent unit
TIG Tungsten inert gas
TIR Transit International Routier
TL Truckload
TM [or] T.M. Trademark
TOFC Trailer on flat car
tpi Teeth per inch; Threads per inch
TSUSA Tariff Schedules of the United States Annotated
TÜV Technischen Ueberwachungs Vereine (Technical Inspection Association)
tvp Textured vegetable protein
U
Abbreviationor Acronym Stands For
U.A.E. [or] UAE United Arab Emirates
U.K. [or] UK United Kingdom
U.N. United Nations
U.P.C. Universal Product Code
UL Underwriters Laboratories
ULD Unit load device
UNC Unified national coarse
UNCTAD United Nations Conference on Trade and Development
UNEF Unified national extra fine
UNESCO United Nations Educational, Scientific and Cultural Organization
UNF Unified national fine
UNICEF United Nations Children's Fund
UNICODE Universal digital code
UNIDO United Nations Industrial Development Organization
UNS Unified numbering system
UPS Uninterruptible power supply (or system)
USP [or] U.S.P. United States Pharmacopoeia
UTC Universal Coordinated Time
uv Ultraviolet
V
Abbreviationor Acronym Stands For
V Volt
VAT Value added tax
VDE Verband Deutscher Elektrotechniker (Association of German Electrical Engineers)
vol. Volume
vs. Versus
W
Abbreviationor Acronym Stands For
W Watt
W.A. With average (in insurance)
W.P.A. With particular average (in insurance)
W/M [or] W or M Weight or measure
WAN Wide area network
WB World Bank
WHO World Health Organization
WIP Work in process
WIPO World Intellectual Property Organization
wt. Weight
WTC World Trade Center
WTO World Trade Organization