Incoterm DAT explained

What is Incoterm DAT?
As a vendor, would you like to be in control and manage the entire transportation process? Then in Incoterm DAT is a good option (formerly also known as DES and DEQ). With this Incoterm, the selling party arranges and pays for the transportation to the agreed upon terminal. In this, DAT is applicable to any modality. As the seller, you are responsible for the entire transportation process.

Incoterm DAT meaning
The meaning of DAT is Delivered at Terminal. The goods are delivered by the seller to the pre-arranged freight terminal. DAT can be applied at any time because the mode of transportation does not matter. Incoterm DAT requires the seller to place the sold goods at the designated terminal at the agreed port or airport in the destination country.

DAT transport
The major feature of Incoterm DAT is that the goods are delivered at an agreed terminal. This can be an airport terminal or, for example, a port. It is important to indicate the location of the terminal because this is where the risk passes from seller to buyer. It is wise for the seller to take out insurance, as the carrier has limited liability for the goods based on certain conventions.

Incoterm DAT cost
The cost of the entire transportation process is borne by the seller of the goods. The seller pays all transportation-related costs until the goods are delivered to the agreed upon terminal. This includes export and import costs. Any insurance is paid by the seller as well as taxes and duties. The buyer pays the costs incurred for unloading the goods. If the goods need further transportation later, these costs are for the buyer. Insurance is not obligatory but recommended for the seller.

Seller obligations under DAT
Most of the obligations under Incoterm DAT lie with the seller of the goods. He is responsible for the entire transport process and all costs involved. Until the goods are delivered to the agreed terminal, the seller is also responsible for damage and loss of the goods. The seller also bears the risk during the unloading of the goods at the terminal. Handling and paying all customs formalities related to exporting products is also the seller's responsibility.

Obligations of buyer under DAT
As a buyer under Incoterm DAT, you have few obligations and risks. The risk of damage and loss of the goods lies with the buyer from the moment the goods are unloaded in the right terminal. The buyer of the goods is responsible for paying and handling all documents related to importing goods. Further transportation of the goods to the final destination must be paid for by the buyer.

Incoterm DAT vs. DAP
DAT Incoterm and DAP Incoterm are often confused with each other. In fact, they have many similarities such as the buyer being responsible for all import duties. One of the major differences is where the goods are delivered. With DAT, the goods are delivered at a terminal. This can be at a port or a warehouse, for example. With DAP, the place where the goods are delivered can be throughout the destination country. Here it does not matter whether it is a terminal or not. Another big difference is that with DAT, the seller is responsible for unloading the goods. With DAP, this is the responsibility of the buying party.

Sea freight or air freight shipments with customs obligation?
Global shipments and shipments within Europe to/from non-EU countries are subject to customs obligations. What measures do you need to take and what documents are required? With the knowledge and experience of our specialists in the Rotra customs department, we are able to provide solutions for all your customs obligations that fit your logistics process while you focus on your own core business.

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