DDP— Delivered Duty Paid(Giao đã nộp thuế)

Delivery & risk transfer

Delivery takes place when the goods arrive at the destination ready for unloading, with import formalities completed. Risk passes there; every mishap en route and at the import border before that point is at the seller's risk.

Cost split

The seller pays everything: through carriage, clearance at both ends, import duty, VAT and destination charges (unless the contract carves some out, for example “DDP VAT unpaid”). The buyer only bears unloading.

Insurance

Neither party is obliged to insure. Whichever party bears the transit risk should consider buying cover for that leg.

Watch out for

• Use DDP only when the seller can actually clear the goods for import in the buyer's country (with a tax registration or a local agent there). Otherwise use DAP or DPU and leave import clearance to the buyer.
• When selling DDP into Vietnam, import duty and VAT are paid by the foreign seller. The Vietnamese buyer should pay attention to invoices and VAT-credit documents, since it is not the taxpayer.
• A DDP price is the most all-inclusive figure on the invoice and contains items outside the customs value. Declaring it unchanged means overpaying duty; items documented separately can be deducted.