Incoterms CPT: Carriage Paid To

Named Place Requirement: Place of Destination

Applies to:       Air   Ground   Rail   Sea and inland waterway

Carriage Paid To Incoterms CPT
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Carriage Paid To (CPT) rules require the seller to clear the goods and arrange carriage (by one or more transport modes) to the named place of destination. The seller does not need to obtain or pay for insurance.

A carrier is any person or company who undertakes the carriage of the goods, such as a shipping line, airline, trucking company, railway or freight forwarder.

In multimodal shipments, the place of shipment is the first carrier used.

Under CPT rules, the seller’s risk ends, and the buyer’s risk begins, when the first carrier receives the goods from the seller. However, the buyer is only responsible for additional costs after the goods arrive at the final destination.

CPT is often used in air freight, containerized ocean freight, small parcel shipments and “ro-ro” shipments of motor vehicles.

   The transfer of risk and cost from seller to buyer occur at different points.

 

CIF Incoterm Obligations

Seller’s Obligations

  • Goods, commercial invoice and documentation
  • Export packaging and marking
  • Export licenses and customs formalities
  • Pre-carriage and delivery
  • Loading charges
  • Cost of delivery at named place of destination
  • Proof of delivery
  • Cost of pre-shipment inspection

Buyer’s Obligations

  • Payment for goods as specified in sales contract
  • Import formalities and duties
  • Cost of import clearance pre-shipment inspection

Get expert help with Carriage Paid To rules

AIT’s global team of experienced transportation management is well-versed in all the Incoterms rules and all shipping terms. Have a question about CPT Incoterms? Contact a representative today.

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