DDP vs DDU: The Importer’s Shortcut
DDP and DDU are Incoterms — standard rules that decide who pays import duties, taxes, and customs clearance. Understanding the difference before you book a shipment from China prevents nasty surprises at the border and helps you compare freight quotes on equal terms.
Under DDP (Delivered Duty Paid), your freight forwarder pays the destination import duties and handles customs clearance for you. The price you are quoted is the price you pay — goods arrive door-to-door with no extra bill. Under DDU (Delivered Duty Unpaid), the forwarder delivers the goods but you, the importer, pay import duties and clear customs yourself on arrival.
For most small and first-time importers, DDP is the safer choice: the landed cost is predictable and there are no customs forms to file. DDU can look cheaper on the quote, but the duty you pay on arrival often erases the saving — and any clearance delay is on your clock. Always confirm the Incoterm in writing before you book.
DDP or DDU — Which Is Right for You?
Want predictable, duty-included pricing? Explore our shipping services across Canada, the United States, and Mexico — all available with DDP.
- DDP: no surprise customs bills — duties included up front
- DDU: lower headline quote, but you pay import duty on arrival
- DDP is best for first-time and small-volume importers
- Always confirm the Incoterm in writing before booking