How do I choose between DDP and DDU when shipping from China to the UK to minimize import duties?
When shipping goods from China to the UK, choosing between Delivery Duty Paid (DDP) and Delivery Duty Unpaid (DDU) can impact import duties and overall costs. Here's how to make the right choice: 1. Understand DDP and DDU: Delivery Duty Paid (DDP) means that the shipper is responsible for paying all import duties and taxes on behalf of the recipient. Delivery Duty Unpaid (DDU) means that the recipient is responsible for paying import duties and taxes upon delivery. 2. Consider Import Duty Rates : Evaluate the import duty rates applicable to your goods when importing into the UK. Compare the duty rates for different product categories to determine the potential cost savings between DDP and DDU shipments. 3. Assess Risk and Liability: Consider the risk and liability associated with each Incoterm. With DDP shipments, the shipper assumes responsibility for customs clearance and any associated risks. With DDU shipments, the recipient assumes responsibility upon delivery. 4. Factor in Ad...