Introduction

In the realm of international trade, understanding Incoterms is crucial for smooth freight shipping operations. Developed by the International Chamber of Commerce, Incoterms are a set of predefined commercial terms used to outline the responsibilities between buyers and sellers in a shipping transaction. In this guide, we delve into the specifics of Air Freight Incoterms 2016, providing you with a detailed understanding of the key terms and their implications.

Main Sections

1. EXW (Ex Works)

Ex Works is the most basic Incoterm where the seller's responsibility ends at the factory gate. This section explains the implications of EXW for air freight transactions and details the obligations of both buyers and sellers.

2. CPT (Carriage Paid To) and CIP (Carriage and Insurance Paid To)

Learn how CPT and CIP terms impact air freight shipments, with a breakdown of the responsibilities related to transportation and insurance under these Incoterms.

3. DAP (Delivered at Place) and DDP (Delivered Duty Paid)

Understand the significance of DAP and DDP in air freight logistics, including the key differences between the two terms regarding delivery and duty payment obligations.

Conclusion

Mastering the nuances of Air Freight Incoterms 2016 can significantly benefit your freight shipping operations, ensuring clarity and efficiency in international trade transactions. By familiarizing yourself with the specific terms and their implications, you can navigate the complexities of air freight logistics with confidence.