Incoterms 2020 is the current edition of the International Chamber of Commerce's Incoterms rules, effective January 1, 2020. It is the ninth edition since the rules were first published in 1936.
Incoterms 2020 contains 11 rules organized into two categories:
- Multimodal (any mode of transport) — EXW, FCA, CPT, CIP, DAP, DPU, DDP
- Sea and inland waterway only — FAS, FOB, CFR, CIF
Major changes from Incoterms 2010:
- DAT renamed to DPU — Delivered at Terminal became Delivered at Place Unloaded, reflecting that the delivery point need not be a "terminal"
- CIP insurance level increased — Now requires Institute Cargo Clauses (A) — "all risks" cover — up from Clauses (C) in 2010. CIF still requires only Clauses (C).
- FCA on-board bill of lading — Added an option for the buyer to instruct its carrier to issue an on-board bill of lading to the seller, useful when a letter of credit requires an on-board B/L but the rule is FCA rather than FOB
- Security obligations — Expanded references to transport-related security requirements in both A4/A7 and B4/B7 articles
- Seller's own transport — Acknowledged that sellers and buyers may use their own means of transport rather than a third-party carrier
Incoterms 2020 maintains backward compatibility — contracts may still reference Incoterms 2010 or earlier editions. To avoid ambiguity, always specify the edition: "DDP New York, Incoterms 2020."