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How to Configure DDU/DDP Incoterms for Carriers

Explains how the Carrier Int'l Billing Type selection on international shipments determines the Incoterm (DDP, DDU, or DAP) sent to each carrier, including carrier-specific defaults and exceptions.

Overview

When you ship internationally in Logiwa IO, the Carrier Int'l Billing Type you choose does more than decide who pays duties and taxes — it also determines the Incoterm (international customs delivery term) sent to the carrier on your shipping documents. Because each carrier interprets billing responsibility differently, the same selection can produce a different customs term depending on which carrier you're shipping with.

When to Use This

Reference this article when:

  • You're shipping internationally and want to confirm which customs term (DDP, DDU, or DAP) will appear on your shipping label or commercial invoice

  • You're troubleshooting a customs delay or an unexpected duty charge on an international shipment

  • You need to deliberately configure a shipment as DDP or DDU/DAP for a specific carrier

Prerequisites

  • The order must be an international shipment

  • A Carrier Int'l Billing Type field must be available on the shipment order (see Configuring Third-Party Billing and Taxes & Duties Payor)

Step-by-Step: Setting the Billing Type

  1. Open the international shipment order.

  2. Go to the Shipment tab.

  3. In the Carrier Int'l Billing Type field, select one of: Sender, Recipient, Third Party, Collect, or Prepaid.

    • If Third Party is selected, also choose the Int'l Charged Account Number.

  4. Generate the shipping label as normal — Logiwa IO automatically translates your selection into the Incoterm that carrier expects.

Key Fields & Options: Incoterm by Carrier

Carrier

Sender

Third Party

Recipient

Collect / Prepaid

Default

UPS

DDP

DDU

DDU

DDU

DDU

FedEx

DDP

DDP

DDU

DDP

DDP

Techship

DDP

DDU

DDU

DDP

DDP

EasyPost

DDP

DAP

DAP

DDP

DDP

Stamps

DDP

DDU

DDU

DDU

DDU

What these terms mean:

  • DDP (Delivered Duty Paid): Duties and taxes are paid upfront; the recipient owes nothing extra on delivery.

  • DDU / DAP (Delivered At Place / Duty Unpaid): The recipient pays duties and taxes when the package arrives. Carriers just label the same outcome differently.

Common Questions & Edge Cases

What happens if I don't select a Carrier Int'l Billing Type?
Logiwa IO falls back to each carrier's default, shown in the last column above. Every carrier defaults to DDP except UPS, which defaults to DDU.

Why does "Third Party" give a different result for FedEx than for UPS?
Each carrier sets its own customs rules. FedEx treats a third-party payer as DDP, while UPS treat it as DDU, and EasyPost treats it as DAP. Logiwa IO simply passes along each carrier's own logic — this isn't something you can override from Logiwa IO.

Does this apply to domestic shipments?
No, Incoterms only apply to international shipments.

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