chapter 2 Trade Terms

1、Chapter 2 International Trade TermsIncoterms價格術語價格術語 AcceptanceSigning ContractApplying Import LicenseOpening L/CChartering Space ShipDeliveryChecking L/CArrivalDeclare and DischargeConclusionDischargeTrack GoodsInsuranceSettlementClaims, AdjustmentProcedures of Import Transaction Export Procedures

2、under CIR on the side of SellerResponsibilitiesExpensesrisksTrade terms are an important component of a unit price in international trade, standing for specific obligations of the buyer and the seller.time and place of delivery documents and expenses title to the goodsresponsibilities& associated co

3、stscontractRoles of Trade Terms1Provide the basis for a unified set of operations for both parties2Simply the negotiation process, thus saving time and cost3Avoid disputes &misunderstandings between the two parties.國際貿易磋商中所要解決的幾個重要問題：國際貿易磋商中所要解決的幾個重要問題： 買賣雙方在何地、以何種方式交接貨物； 由誰負責辦理貨物的運輸、保險和通關過境等手續(xù)； 由誰承

4、擔辦理上述事項時所需的各種費用； 貨物發(fā)生損壞或滅失的風險何時何地由賣方轉移給買方； 買賣雙方需要交接哪些單據等 Attention1. Incoterms are not part of national or International lawThey areonly rulesand regulations However, if sales contract specifies that a particular Incoterms will applyThen that particular Incoterms can be binding on sellersand buyersB

5、ecause when sales contract is established terms involved in the contract will have legal effect2. Incontermsdont providefor all the duties of a seller or a buyer but only deal with the relationbetween sellersIn some very distinct respects當買賣雙方發(fā)生爭議時，如果：當買賣雙方發(fā)生爭議時，如果： 合同的規(guī)定與慣例矛盾，則法院或仲裁機構以合同的規(guī)定為準。 合同的規(guī)

6、定與慣例不抵觸，則法院或仲裁機構以國際慣例的規(guī)定為準。 合同中明確規(guī)定采用某種慣例，則這種慣例就有其強制性。國際貿易國際貿易慣例就其所涉及的內容來看，通常有以下幾種：慣例就其所涉及的內容來看，通常有以下幾種： 有關信用證的國際慣例:跟單信用證統(tǒng)一慣例（簡稱UCP600）。 有關托收的國際慣例：托收統(tǒng)一規(guī)則（簡稱URC522）。 有關國際貿易術語的國際慣例： 1）1932年華沙牛津規(guī)則（Warsaw-Oxford Rules 1932） ； 2）1941年美國對外貿易定義修訂本(Revised American Foreign Trade Definitions(1941) ； 3）2010年國

7、際貿易術語解釋通則（INCOTERMS 2010）。2000年通則年通則四組術語四組術語DAT (delivered at terminal)DAP (delivered at place)TRADE TERMS IN INCOTERMS 2000What is Trade Terms It refers to those short terms which indicate the formation of the unit price and determine the responsibilities/rights, risks and expenses borne by two par

8、ties as well as the time of passing the title to the goods(貨權轉移貨權轉移).FOB LONDON CIF JIUJIANGThe passing of the risks of loss of or damage to the goods One import and export company exported his goods under the FOB term. The seller delivered the goods on board the vessel on time and prepared all nece

9、ssary documents. But the vessel stranded and sank in a few hours after departure. The next day, when the seller asked for payment with full set of documents in conformity with the contract, the buyer refused to accept the documents and rejected payment because his goods have been lost. CaseCaseIs it

10、 reasonable for the buyer to do so? FOB, Free on Board (Named port of Shipment) 指定裝運港船上交貨指定裝運港船上交貨/離岸價離岸價 It means that the seller fulfills his obligation to deliver the goods when they have passed over the ships rail at the named port of shipment. This means that the buyer has to bear all expenses

11、and risks of or damage to the goods from that point. It can only be used for sea or inland waterway transport.deliver the goods on board the vesselFOB （NAMED PORT OF SHIPMENT（裝運港）船上交貨（裝運港）船上交貨賣方賣方賣方辦出口手續(xù)賣方辦出口手續(xù)海運海運買方負責運輸、買方負責運輸、運費、進口手續(xù)運費、進口手續(xù)目的目的港港deliver the goods on board the vessel1. Provision of

12、 goods in conformity with the contract2. Carry out export procedures3. Delivery and send notice4. Proof of delivery5. Costs and risks before the goods being delivered on board the vesselobligations1. Payment for goods2. Carry out import procedures3. Contract of carriage 4. Taking delivery5. Accept t

13、he proof of delivery6. Risks and costs after the goods being delivered on board the vesselSellerBuyerPoints for Special Attention Place of division of risks: on board the vessel for risks only, not for loading expenses. Connection of cargo and vessel: avoid the dead freight(空艙費）空艙費）and extra warehou

14、se charges. The seller can book the shipping space on behalf of the buyer, at the buyers own account and risks。 Notice from the seller to the buyer about cargo readiness (send vessel) and the final shipment (insurance); instructions from the buyer to the seller (goods ready at the port)Charge payabl

15、e on space booked on a ship but not utilized by the charterer or the shipper. FOB liner terms班輪條件班輪條件: The loading as well as trimming or stowing charges will be covered by the buyer/carrier. FOB under tackle吊鉤下交付吊鉤下交付: The seller fulfils his delivery when it has placed the goods under the tackle of

16、 the collecting vessel. FOB stowed理艙費在內理艙費在內: The seller will bear the cost of stowing as well as loading. FOB trimmed平艙費在內平艙費在內: The seller will bear the cost of trimming as well as loading. FOBST: FOB Stowed and Trimmed (the seller) FOB San Francisco FOB Vessel San Francisco CFR (Cost and Freight)

17、Named Port of Destination 成本加運費成本加運費(指定目的港指定目的港)It means that the seller shall undertake the costs and freight necessary to carry the goods to the named port of destination 返回目錄返回目錄risk of loss of or damage to the goods, additional costs in transit Seller buyerCFR Named Port of Destination在裝運港船上交貨在裝

18、運港船上交貨賣方承擔運費賣方承擔運費賣方辦理租船訂艙、賣方辦理租船訂艙、出口手續(xù)出口手續(xù)買方負責買方負責進口手進口手續(xù)續(xù)目的港目的港買方買方風險在船艙轉風險在船艙轉移移海運海運vOnly for sea or inland waterway transport.1. Provision of goods in conformity with the contract2. Contract for the carriage and pay the freight 3. Delivery& proof, notice4. Carry out the export procedures5. Cost

19、s and risks before the goods being delivered on board the vesselobligations1. Payment for goods2. Carry out the import procedures3. Taking delivery4. Accept the proof of delivery5. Risks and costs after being delivered on board the vesselSellerBuyerPoints for Special Attention The seller covers the

20、cost of carriage but does not bear the risks arising from the carriage of the goods. Seller must send shipping notice sufficient in both details and time to enable the buyer to insure the goods on time. Prevent the buyer from appointing shipping companies later. - accept if the buyer will bear extra

21、 charges - raise the price - refuse - “The freight calculated here does not include that of the buyers appointed carriers and/or carrying vessels” The terms under which the seller will bear the unloading charges:CFR liner terms 班輪條件CFR ex tackle (of the vessel)吊鉤下交貨CFR landed卸至碼頭（包括駁運費lighterage ） T

22、he term under which the unloading charges will be born by the buyer:CFR ex ships hold 艙底交貨CFR變形變形 卸貨費用的負擔問題卸貨費用的負擔問題CIF (Cost，Insurance and Freight)，named port of destination成本加保險費、運費成本加保險費、運費(指定目的港指定目的港)CFR+ marine insurance 返回目錄返回目錄vOnly for sea or inland waterway transportCIFnamed port of destina

23、tion在裝運港船上交貨在裝運港船上交貨賣方承擔保險和運費賣方承擔保險和運費賣方辦理租船訂艙、投賣方辦理租船訂艙、投保、出口手續(xù)保、出口手續(xù)買方負責買方負責進口手續(xù)進口手續(xù)目的港目的港買方買方風險在船艙轉移風險在船艙轉移海運海運1. Provision of goods in conformity with the contract2. Carrying out export procedures3. Contract of carriage and insurance, notice to the buyer4. Delivery and proof5. Costs and risks be

24、fore the goods passing the ships railobligations1. Payment for goods2. Carrying out import procedures3. Taking delivery4. Accept the proof of delivery5. Risks and additional costs after the goods passing the ships railSellerBuyer卸貨費用負擔的問題卸貨費用負擔的問題CIFCIF的變形的變形 CIF Liner Terms（班輪條件）（班輪條件）賣方賣方 CIF Ex T

25、ackle （吊鉤交貨）（吊鉤交貨）賣方賣方 CIF Landed（卸到岸上）（卸到岸上）賣方賣方 CIF Ex Ships Hold（艙底交接）（艙底交接） 買方買方Points for Special Attention The seller covers the cost of carriage and premium but does not bear the risks arising from the carriage of the goods. The seller is only obliged to pay for the minimum coverage of insura

26、nce. Any additional coverage can be effected at the buyers own expense. The seller must send shipping notice to enable the buyer to make customs clearance and take delivery of goods Typical symbolic deliverySymbolic Delivery and Physical Delivery Symbolic delivery: the seller fulfills his obligation

27、 of delivery when he completes the shipment of goods at the appointed place within agreed time and submits relevant documents provided in the contract. The seller does not guarantee the arrival of the goods at the destination. Physical delivery: the seller must deliver the contracted goods to the bu

28、yer or the buyers agent at the agreed time and place. Delivery of documents cannot replace delivery of goods. Symbolic Delivery and Physical Delivery- delivery and taking of delivery happens at the same time. - goods are delivered to the buyer or the buyers agent. - the time of the arrival is provid

29、ed. - transfer of risks takes place when delivery is taken. - delivery and taking delivery do not happen at the same time.- goods are delivered to carrier or his agent rather than the buyer.- documents rather than goods- date of shipment is specified while date of arrival is not.- transfer of risks

30、before taking of delivery A Chinese import and export company concluded a Sale Contract with a Holland firm on August 5, 2000, selling a batch of certain commodity. The contract was based on CIF Rotterdam at USD 2500 per metric ton. The Chinese company delivered the goods in compliance with the cont

31、ract and obtained a clean on board Bill of Lading. During transportation, however, 100 metric tons of goods got lost because of rough sea. Upon arrival of the good, the price of the contracted goods went down quickly. The buyer refused to take delivery of the goods and effect payment and claimed dam

32、ages from the seller. Is it reasonable for the buyer to do so, if you were the buyer, How would you deal with the case?Case 1Case 1 Team Work 如果你是一個內陸出口商，請問以上三種價格術語適用嗎？如果都不適用，請說出你的理由。FOB, CFR or CIF?Class Activities Presentation (DAP& DAT) Report (later) Comparison between the three trade terms.FCA

33、(Free Carrier) named place 貨交承運人（指定地點）貨交承運人（指定地點） It means that the seller fulfils his obligation to deliver when he has handed over the goods, cleared for export, to the carrier or another person named by the buyer at the named place. This term may be used for any mode of transport, including multi

34、-modal transport.Carrier means any person who, in a contact of carriage, undertakes to perform or to procure the performance of carriage, by rail, road, sea, air, inland waterway, or by a combination of such modes.Obligations Almost similar to FOB Differences are as follows: 1. For FCA, the place of

35、 delivery can be any point (as appointed) within the sellers country. 2. the seller only needs to deliver the goods to the carrier named by the buyer, rather than onto the conveyance(運輸工具). 3. risks and expenses are divided when the goods are delivered to the carrier or the named person.Special Atte

36、ntions the seller has to load the goods on the means of transport nominated by the buyer (delivery at the sellers premises) or place the goods at the disposal of the carrier nominated by the buyer, not unloaded, in the sellers means of transport( delivery at the depot or elsewhere) the buyer has to

37、take delivery of goods, loaded, on the means of transport (delivery at the sellers premises) or take delivery of the goods on the arriving means of transport, not unloaded, and carry out unloading, storage, and loading of the goods( delivery at the depot or elsewhere)The chosen place of delivery has

38、 an impact on the obligationsof loading and unloading the goods at that place:CPT (Carriage Paid to ). named place of destination 運費付至指定目的地運費付至指定目的地 It means that the seller pays the freight for the carriage of the goods to the named destination. The risk of loss of or damage to the goods, as well a

39、s any additional costs due to events occurring after the time the goods have been delivered to the carrier, is transferred from the seller to the buyer when the goods have been delivered into the custody of the carrier. It be used for any mode of transport, including multi-modal transport.Obligation

40、s Similar to CFR Differences:1. For CPT, the place of shipment and the place of destination are not necessarily ports.2. Division of risks are made when the goods are delivered to the carrier, or the first carrier if subsequent carriers are used for the carriage to the agreed destination.3. Applicab

41、le to all modes of transport Shipping Notice裝運通知 Particulars of Insurance投保信息 Insurance Policy 保單 Division of Risk風險轉移Special AttentionsCIP (Carriage and Insurance Paid to) . named place of destination It means that the seller, besides the obligation as under CPT, has to undertake cargo insurance ag

42、ainst the buyers risk of loss of or damage to the goods during the carriage. It may be used for any mode of transport including multimodal transport.Comparison “when the ship rail serves no practical purpose, such as in the case of roll-on/roll-off or container traffic, the FCA term is more appropri

43、ate to use.”-FOB( P25)“, the CPT term is more appropriate to use.-CFR(P25)“, the CIP term is more appropriate to use.-CIF(P26)FCA VS FOBCPT VS CFRCIP VS CIF Roll-on/roll-off (RORO or ro-ro) ships are vessels designed to carry wheeled cargo, such as automobiles, trucks, semi-trailer trucks, trailers, and railroad cars, that are driven on and off the ship on their own wheels or using a platform vehicle, such as a self-propelled modular transporter. This is in contrast to Lift-on/Lift-off (LoLo) vess