24 Sep 2019
The current version of the incoterms dates back to 2010. The incoterms are revised and adjusted every 10 years. The new version, Incoterms 2020, was released last week and will come into effect on January 1, 2020.
The International Chamber of Commerce, which publishes the incoterms, has listed the most important changes:
- Incoterms® 2020 provides for demonstrated market need in relation to bills of lading (BL) with an on-board notation and the Free Carrier (FCA) Incoterms® rule.
- Incoterms® 2020 aligns different levels of insurance coverage in Cost Insurance and Freight (CIF) and Carriage and Insurance Paid To (CIP).
- The term Delivered at Terminal (DAT) changed to Delivery at Place Unloaded (DPU).
- Incoterms® 2020 includes arrangements for carriage with own means of transport in FCA, Delivery at Place (DAP), Delivery at Place Unloaded (DPU), and Delivered Duty Paid (DDP).
- Incoterms® 2020 includes security-related requirements within carriage obligations and costs.
We hope to be able to share a complete and detailed overview of the Incoterms soon.
What will happen to the ICC Incoterms 2010 as of January 1, 2020?
The ICC Incoterms 2010 remain in force for parties that use them. As per January 1st, you can also trade under the new terms.
Source: International Chamber of Commerce (ICC)