lecure 7IT.ppt

Lecture6:Other 7 Trade Terms Pricing Quotation Contents: 1.EX works 2.FAS(free alongside ship) 3.Group D Trade terms: DAF,DES,DEQ 4.Pricing quotation Aims： Grasping the differences of the different trade terms I. EX Works 1.Understanding:delivers at the buyer’s disposal, at the seller’s premises, 2.Attention: (1)seller is not responsible for the clear for export (2)Not responsible for loading 3.Seller has the minimum obligations II.FAS(free alongside ship) 1.Understanding:goods are placed alongside the ship at the named port by the buyer; 2.risk transfer See the lecture5 table comparison Trade terms Delivery Place Risk Transfer Carriage Insurance Clear for import Clear for export Transport -ation EXW Seller’s premises Buyer’s disposal buyer buyer buyer buyer All FCA Seller’s country Buyer’s disposal Buyer(loading ,unloading according to the contract) buyer buyer seller All FAS Port of shipment Alongside the ship buyer buyer buyer seller Sea FOB On board Ship’s rail buyer buyer buyer seller sea II.Group D 1. Delivered at Frontier Attention: (1)seller is not responsible for unloading (2)specify which frontier? exporting or importing frontier? Different frontier, different obligations for the seller (2)All mode transportation Comparison Trade terms Delivery Place Risk Transfer Carriage Insurance Clear for import Clear for export Transport -ation DAF Frontier(边境） Buyer’s disposal Seller buyer seller All DES On board at the port of destination（船上） Buyer’s disposal Seller seller buyer seller sea DEQ Port of destination（目的巷） Buyer’s disposal（处置下） Seller(related) seller buyer seller sea DDU Buyer‘s premises（指定地点） Buyer’s disposal Seller(related expense) seller buyer seller All DDP Buyer’s premises Buyer’s disposal Seller(related) seller seller seller all 2.DES(delivered ex ship) See the following table 3.DEQ(delivered ex quay) 4.DDU(delivered duty unpaid) 5.DDP(delivered duty paid) III.Pricing Quotation of Export 1.Cost