Shipping DDP Terms? You Might Not Be Anymore.

If you’re importing under DDP terms, Delivered Duty Paid (DDP), now is the time to double-check your supplier is covering duties.

With reciprocal tariffs and trade tensions driving up import duties, many suppliers, including many Alibaba suppliers, are quietly abandoning true DDP. They’re shifting to DAP (Delivered at Place) or DPU (Delivered at Place Unloaded) without notifying buyers. That means you could be left on the hook for duties, customs clearance, and compliance, despite thinking you’re covered.

This subtle switch is costing importers time, money, and legal risk.

What DDP Is (and Why It’s Rarely Done Right)

Under Incoterms® 2020, DDP means your supplier is fully responsible for:

• All transportation costs
• Import clearance
• Duties and taxes in your country
• Acting as the importer of record

In practice, though, few overseas sellers fully understand or follow these rules. With tariffs rising, many are quietly choosing to protect themselves by delivering under DAP or DPU—but still labeling the shipment as DDP in documents or quotes.

So while you may believe you’re shipping DDP, you may be covering more than you realize.

Warning Signs Your “DDP” Terms Have Shifted

If any of these are happening, you’re likely no longer receiving true DDP:

• Your supplier on Alibaba is no longer including DDP in the order details
• You’re being asked to handle customs clearance or pay duties
• The supplier cannot confirm the import duty rate in your country
• You’re being listed as the importer of record
• The supplier says “We’ll ship DDP, but you take care of clearance”
• Your broker flags unpaid duties or missing compliance documents
• The incoterm listed on the invoice or shipping docs doesn’t match what you agreed to

Ask These Questions to Verify the DDP Terms

The book Incoterms® Rules for Americans® by Frank Reynolds includes essential DDP-related questions (see page 133). Whether you’re new to DDP or have used it for years, now’s the time to go back to your supplier and ask:

• Do you still assume full responsibility for duties, import clearance, and acting as the importer of record in my country?
• Do you know the current tariff rate for this product—including Section 301 or ADD/CVD if applicable?
• Are you handling required product compliance (e.g., labeling, certifications, safety requirements)?
• What Incoterm is listed on the shipping and commercial documents?

Protect Yourself with DDP Check

Suppliers, including on Alibaba, may say “DDP,” but unless you verify it, you could be taking on hidden costs.

We recommend using the DDP Check tool—a third-party verification service that helps confirm whether your supplier is fulfilling their DDP obligations or quietly shifting risk back onto you.

---

Final Reminder: Just Because It Was DDP, Doesn’t Mean It Still Is

Global supply chains are shifting. Trade policies are changing. And costs are rising.

What was once a reliable DDP setup may have quietly morphed into something very different—leaving you with unexpected liabilities and shrinking profit margins.

Don’t assume. Reconfirm. Use DDP Check.

Because in 2025, “Delivered Duty Paid” might only be true in name.