DDP (Delivered Duty Paid) is an Incoterms 2020 rule under which the seller bears all costs and risks of delivering goods to the named destination, including export and import customs clearance, duties, and taxes, making it the maximum-obligation term for the seller.
In trade practice
Under DDP, the seller must arrange export clearance in Ukraine, cross-border transport, EU import customs clearance, and payment of any applicable duties before handing over the goods. Buyers favour it for simplicity, but suppliers must have a fiscal representative or customs agent in the EU. A common mistake is quoting DDP without confirming VAT obligations at destination, which can create unexpected costs. The commercial invoice must state the named place of destination precisely.
In a specification
A contract or purchase order should read, for example, “DDP [named place], Incoterms 2020” and specify whether unloading at the destination is included or excluded.