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DPU - Delivered at Place Unloaded

Jul 5, 2021

Person standing next cubes spelling DPU for the Incoterm Delivered at Place Unloaded when shipping with Shipa Freight.

What is the DPU Incoterm (Delivered at Place Unloaded)

The DPU Incoterm is the newest Incoterm to date, introduced in the latest edition, Incoterms 2020. This new Incoterm replaces the previous DAT (Delivery at Terminal) Incoterm.

The DPU Incoterm can be used for all modes of transport and for more than one mode of transport. Under DPU, the seller bears all risks of loss or damage to the goods until they have been unloaded and delivered at the agreed destination.

It is only when the goods are unloaded in the arriving destination when the responsibility and risks transfer to the buyer.

In the DPU Incoterm, the arrival and delivery destination are the same. It’s also unique because it’s the only Incoterm that requires the seller to take charge of unloading at the destination. Hence, sellers are careful to use this Incoterm only if they have the ability to organize the unloading of the goods. Otherwise, it’s recommended that the DAP Incoterm be used instead.

The seller nor the buyer are not required to obtain insurance under the DPU Incoterm.

The Seller’s Obligations Under the DPU Incoterm

  • Deliver the goods and documents required
  • Checking, packaging, and marking
  • Export clearance
  • Transit clearance
  • Unloading the goods at the destination
  • Bear all risks of loss of or damage to the goods until delivery
  • Contract of carriage
  • Transport-related security requirements
  • Notify the buyer that the goods have been delivered
  • No obligation to obtain insurance.

The Buyer’s Obligations Under the DPU Incoterm

  • Pay for the goods
  • Take the delivery of the goods
  • Bear all risks of loss of or damage to the goods from the time of delivery
  • Import clearance
  • No obligation to make a contract of carriage
  • No obligation to obtain insurance

What Does the Seller Pay for Under the DPU Incoterm?

  • All costs relating to the goods until they have been delivered
  • Delivery and transport documents
  • Duties and taxes

What Does the Buyer Pay for Under the DPU Incoterm?

  • All costs relating to the goods from the time of delivery
  • Duties and taxes

Unsure if the DPU Incoterm is right for your shipment? Get in touch with our experts to learn the best Incoterm you should use.