DDP vs FAS: who pays what

DDP is Delivered Duty Paid. FAS is Free Alongside Ship. Incoterms 2020.

The difference that matters

Full cost split

Cost blockDDPFAS
Export clearanceSellerSeller
Carriage to port / terminalSellerSeller
Loading onto main carriageSellerBuyer
Main carriage (freight)SellerBuyer
InsuranceNeither obligedNeither obliged
Unloading at destinationBuyerBuyer
Import clearanceSellerBuyer
Duties and import taxesSellerBuyer
Risk passesAt the named destination, ready for unloading, after import clearance.When the goods are alongside the ship — quay or barge — not yet on board.
Transport modeAny modeSea / inland waterway

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.

FAS

Only sensible for bulk or break-bulk. For containers the goods leave the seller long before the quay, so FCA fits better.

Questions

What is the main difference between DDP and FAS?
They split 4 cost blocks differently. loading onto main carriage falls to the seller under DDP and the buyer under FAS; main carriage (freight) falls to the seller under DDP and the buyer under FAS; import clearance falls to the seller under DDP and the buyer under FAS; duties and import taxes falls to the seller under DDP and the buyer under FAS.
Where does risk pass under DDP?
At the named destination, ready for unloading, after import clearance.
Where does risk pass under FAS?
When the goods are alongside the ship — quay or barge — not yet on board.
Can DDP and FAS both be used for container shipments?
DDP works for any mode of transport. FAS is written for sea and inland waterway transport only.

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 FASCIF vs DDPCIF vs FASCIP vs DDPCIP vs FASCPT vs DDPCPT vs FAS

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.