DDU Incoterms: Meaning and Replacement Rules

DDU (Delivered Duty Unpaid) is an obsolete Incoterms rule under which the seller delivers the goods to a place named by the buyer and covers the transport, while the buyer is responsible for import clearance, duties and taxes. It was withdrawn in Incoterms 2010.

What replaced DDU

DDU was effectively replaced by DAP (Delivered at Place), which carries the same split of responsibilities. The related term DAT (Delivered at Terminal) was introduced at the same time and later renamed DPU. Contracts written today should use the current Incoterms rather than DDU.

Who pays what under DDU

The seller bears the cost and risk of carriage to the agreed destination; the buyer pays customs duties, import taxes and any other import charges. If the seller is to cover part of these, it must be stated explicitly in the contract.