DDP vs DPU: who pays what

DDP is Delivered Duty Paid. DPU is Delivered at Place Unloaded. Incoterms 2020.

The difference that matters

Full cost split

Cost blockDDPDPU
Export clearanceSellerSeller
Carriage to port / terminalSellerSeller
Loading onto main carriageSellerSeller
Main carriage (freight)SellerSeller
InsuranceNeither obligedNeither obliged
Unloading at destinationBuyerSeller
Import clearanceSellerBuyer
Duties and import taxesSellerBuyer
Risk passesAt the named destination, ready for unloading, after import clearance.Once the goods are unloaded at the named destination.
Transport modeAny modeAny mode

What people get wrong

DDP

Many countries will not let a non-resident seller act as importer of record, and unrecoverable import VAT quietly becomes a cost.

DPU

The seller must be able to unload at a place they do not control. Agree who supplies the forklift or crane before signing.

Questions

What is the main difference between DDP and DPU?
They split 3 cost blocks differently. unloading at destination falls to the buyer under DDP and the seller under DPU; import clearance falls to the seller under DDP and the buyer under DPU; duties and import taxes falls to the seller under DDP and the buyer under DPU.
Where does risk pass under DDP?
At the named destination, ready for unloading, after import clearance.
Where does risk pass under DPU?
Once the goods are unloaded at the named destination.
Can DDP and DPU both be used for container shipments?
Yes. Both work for any mode of transport, including containers, air and road.

Whichever term you agree, the paperwork has to say so

The Incoterm and named place belong on the commercial invoice, the packing list and the shipper's instructions — spelled the same way on each. ovrseas generates the set from one entry so they cannot disagree with each other.

Commercial invoice template

Compare other pairs

CFR vs DDPCFR vs DPUCIF vs DDPCIF vs DPUCIP vs DDPCIP vs DPUCPT vs DDPCPT vs DPU

Incoterms® is a registered trademark of the International Chamber of Commerce. This page is an independent summary of how costs and risk are allocated and is not affiliated with or endorsed by ICC. For contract drafting, use the official Incoterms® 2020 rules published by ICC.