DAP Incoterms: Delivered at Place Explained

DAP (Delivered at Place) is an Incoterms 2020 rule in which the seller delivers the goods to the named destination ready for unloading. The buyer handles import clearance and import charges under the rule. The named place, unloading arrangement and destination-country process must be written clearly; “door delivery” by itself is not a complete DAP instruction.

TL;DR

• DAP delivers goods to the named place ready for unloading
• the buyer handles import clearance and related import costs under the rule
• risk transfers at the agreed destination before unloading
• use DDP as the comparison when the buyer cannot manage import formalities

What DAP allocates

The seller arranges and pays for carriage to the named place and carries transit risk until the goods are placed at the buyer’s disposal there, ready for unloading. The buyer handles import formalities and related import charges, then takes delivery. Confirm any unloading service separately.

The buyer's readiness check

Before choosing DAP, confirm that the buyer or appointed broker can complete import clearance, provide the required documents and fund the assessed import charges. Check product compliance and destination requirements before the cargo is booked. If the buyer cannot manage import formalities, compare DDP and verify whether the seller can perform that role.

The named place matters

Write the exact warehouse, terminal or delivery point and the Incoterms 2020 version into the contract and shipping documents. Clarify who books the final appointment, who unloads, what happens after arrival, and which charges are outside the quote. A city name or a message saying “DAP door” leaves too much room for disagreement.

DAP and freight insurance

DAP allocates risk; it does not create cargo insurance. Check the carrier liability terms and decide whether the party bearing risk needs separate cover. Preserve the invoice, packing list, transport documents, policy wording and cargo-condition evidence for the shipment record.

When to choose DAP

DAP can fit a buyer that wants the seller to arrange transport but has the broker, import knowledge and cash flow to control clearance. It is less suitable when the buyer cannot act in the destination import process. Compare DAP with DDP using the same cargo, named place and document assumptions.

DAP decision flow

1. name the exact delivery place and Incoterms version
2. buyer confirms broker, import capability and funds for import charges
3. seller arranges carriage to the named place and carries transit risk to delivery
4. buyer completes import formalities and takes delivery ready for unloading
5. compare DAP with DDP if the buyer cannot manage clearance
6. record the agreed responsibilities in the sale and shipping documents

DAP responsibility checkpoint

Stage	Seller under DAP	Buyer under DAP
Export	Handles export formalities	Provides required information
Main carriage	Arranges and pays carriage to the named place	Checks the scope and destination
Import	Provides assistance where required	Handles import clearance and import charges
Delivery	Delivers ready for unloading and carries risk to that point	Takes delivery and handles unloading unless agreed otherwise

Questions to confirm before you proceed

Who pays import duty under DAP?

The buyer handles import clearance and related import charges under DAP. The exact charges depend on the product, destination and customs assessment.

When does risk transfer under DAP?

Risk transfers when the goods are placed at the buyer's disposal at the agreed destination, ready for unloading.

Should I choose DAP or DDP for a China import?

Choose only after confirming who can perform import formalities, who will fund the charges and where delivery occurs. Compare both terms on the same shipment brief.

related reading

• DDP responsibilities and buyer checkpoints
• Freight insurance and risk questions
• Shipping from China to the USA
• Import documents checklist
• Request a shipment-specific quote

Sources and further reading

• ICC Academy DAP or DDP explanation
• Trade.gov Incoterms guidance