EXW and DDP: test both ends of responsibility

Overview

EXW normally makes goods available at the named place without loading the collecting vehicle. DDP gives the seller broader destination and import obligations, with unloading generally for the buyer. Local rules can affect whether these arrangements are workable.

Convenience does not establish legal capability

Under EXW, check who can carry out export formalities. Under DDP, verify how the seller can perform the import obligations in the destination country. Choosing an acronym does not itself give a party the legal capacity to clear goods.

Assess feasibility, not a convenient label

Describing EXW as “least work” and DDP as “everything delivered” can conceal practical gaps. Check delivery, loading/unloading and customs capability before accepting either.

Before quoting: six checks

1. Identify goods, origin, markets and actual parties. A destination address is not a feasibility assessment.
2. Verify who can perform and be named in local customs procedures. Ask qualified support about the operating model, not simply whether “DDP service” exists.
3. Separate seller, buyer, agent and carrier tasks. Appointing an agent does not itself remove agreed responsibilities between buyer and seller.
4. List unresolved taxes, inspections, permits, corrections, failed delivery and waiting. Record the basis for each and who approves changes.
5. Confirm handling, receiving windows, lifting equipment and access. A customs solution alone may not make final delivery executable.
6. If the scope is unworkable, agree an appropriate alternative before booking. Do not retain a DDP label while verbally excluding a core obligation.

Scenario: what is missing from “DDP warehouse B”?

A seller wants an inclusive warehouse price but has not confirmed who can implement import procedures. Resolve parties, product information, records and the locally acceptable model first. A port-to-warehouse trucking quote does not establish customs eligibility.

Once a workable model is confirmed, agree the treatment of unresolved amounts and requests for additional records. This is transaction clarification, not automatic permission to transfer every extra cost to the buyer. If the model cannot meet DDP, discuss another appropriate arrangement.

For EXW, reverse the exercise: has the buyer arranged export and collection, and what happens if the truck arrives without suitable handling instructions? Settle scope and an approved plan rather than relying on assumptions.

Questions and frequent mistakes

• Does DDP guarantee destination acceptance? No; product and local implementation requirements still matter.
• Is appointing a customs agent enough? Understand authorization, documents and the actual division of responsibilities.
• Is EXW always cheapest? A low goods price can leave substantial buyer-arranged tasks. Compare the same final delivery scope.
• Avoid “everything included” while leaving taxes, inspections or unloading undefined. Identify confirmed items, conditional items and the approval process for changes.

Feasibility checklist

Specify the place, loading or unloading task, customs parties and expected taxes. Check both jurisdictions with qualified support. Record agent responsibilities and document handovers. This learning guide is not transaction-specific contract wording.

References

GENLOG practical guide, reviewed on 24 October 2026 using public primary sources. Examples are illustrations, not official tariffs or contract templates.

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