QUESTION: How do you combine Incoterms and export regulations in order for the business to understand that the regulatory requirements are not dependent on Incoterms? %%%%%%%%%% ANSWERS: If your selling to a customer outside the USA, no matter what INCO term you apply, your export responsibilities and obligations are essentially the same. The trigger for […]
QUESTION: I would like to get the memberships input on incoterms and sales terms on PO. We use incoterms guidelines on PO and for revenue recognition. My concerns are to what extent we include incoterms in our sales and purchases and how we include them – and whether and when their inclusion results in a […]
QUESTION: Our customer in China received a FCL as DAP and already cleared customs and paid taxes/duties. I know Incoterms don’t address title transfer/ownership but since the customer already has possession and paid customs clearance, do they own the goods? We want to take the product back and store it in a non-bonded warehouse and […]
QUESTION: Ex-works to a foreign buyer. We have a Canadian buyer who buys our products on an ex-works basis from our US plants. We “know” that our product is exported to Canada. Our product is building supplies. Do we have any export compliance obligations/risks/liabilities on this type of a transaction? =========== Answers: Sounds like you […]
. US company to Customer in Mexico – Direct US company pays for delivery to US side of the border, customer in Mexico clears customs and pays for delivery to destination in Mexico. Is FCA (US border city) or DAP (US border city) more appropriate? 2. US Company to customer or US company’s subsidiary in […]
QUESTION: We have two scenarios for shipments from US to Mexico and are trying to determine the correct Incoterms to apply. 1. US company to Customer in Mexico – Direct US company pays for delivery to US side of the border, customer in Mexico clears customs and pays for delivery to destination in Mexico. Is […]
QUESTION: We are a US company buying from US supplier. The supplier’s material is manufactured in the West Indies. This would be a small package delivery with an express courier and we are using our collect number, which I would put on PO- FCA/West Indies. Question I have is that our supplier insists that EXWORKS […]
QUESTION: The buyer arranged all transit for the cargo with our sales person, a routed transaction. I do not have a POA to file for the EEI, but I noticed the labels from the carrier have incoterms DAP 2010. Now because the buyer is paying for the freight and arranging for carriage I do not […]
QUESTION: Is it recommended or required to amend existing contracts From INCOTERMS® 2010 To INCOTERMS® 2020 =========== Answers: It depends on if you find the 2020 rules better suited or not. If you don’t amend, the rule as defined in whatever edition that is referenced still stands. =========== It is recommended but not required. All […]
QUESTION: If we want to ship DDP to customers in various countries in the EU, do we have to establish Custom brokers in each country? There is no central point in which the shipments enter the EU. ========== Don’t ship DDP. If you are the importer, you pay the VAT, but without a VAT ID, […]
QUESTION: Our China manufacturing is sending products by paying the freight; we only pay the duty & tax here in the U.S. (DAP Incoterms) However, they put FCA/FOB on their invoices. I was told that they did not include the freight in their unit cost as they cross-charge the freight expenses to our corporate in […]
QUESTION: Our China manufacturing is sending products by paying the freight; we only pay the duty & tax here in the U.S. (DAP Incoterms) However, they put FCA/FOB on their invoices. I was told that they did not include the freight in their unit cost as they cross-charge the freight expenses to our corporate in […]
