Under DDP the supplier covers all costs including customs and duties until the shipment arrives ready at the customer's door. Under DAP the shipment arrives at the agreed destination, and the importer handles customs duties and local taxes themselves.
DDP — Delivered Duty Paid
Under DDP, the supplier (seller) covers all costs until the shipment arrives fully ready at the customer's door — including freight, insurance, customs duties, and any local taxes. The customer doesn't handle any customs procedures themselves.
DAP — Delivered At Place
Under DAP, the shipment arrives at the agreed destination, but customs duties and local taxes are the importer's (customer's) responsibility after arrival.
The Core Difference
- DDP: A clear final cost upfront, greater peace of mind, ideal if you don't want to handle customs yourself.
- DAP: May be cheaper on the initial invoice, but requires the importer to manage customs clearance themselves or through a local broker.
Which Should You Choose?
If this is your first import experience, or you prefer simplicity and knowing the full cost upfront, DDP is the better choice. If you have experience or a trusted local customs broker and want more flexibility on cost, DAP may suit you better.