ICC - International Chamber of Commerce

04/24/2025 | Press release | Distributed by Public on 04/24/2025 02:16

Using the Incoterms® 2020 rules to manage tariff risk in international trade

Incoterms® rules

Using the Incoterms® 2020 rules to manage tariff risk in international trade

  • 24 April 2025

Read this guide to discover how the Incoterms® 2020 rules-developed and maintained by the International Chamber of Commerce (ICC)-offer a practical tool to manage risk in international commercial contracts.

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In today's global trade environment, tariff changes have become increasingly common due to shifting policy priorities, trade negotiations, and the expiration of preferential regimes.

Although the Incoterms® rules do not affect tariff rates or customs procedures, they establish the allocation of responsibilities between buyers and sellers. This clarity enables businesses to mitigate the risks associated with sudden tariff changes and ensures smoother cross-border transactions.

This guide explains:

  1. Why the Incoterms® rRules matter in a volatile tariff environment.
  1. A breakdown of who pays the tariff according to Incoterms® rules and transport methods
  1. Practical use of Incoterms® rRules in times of tariff volatility and further resources

Incoterms® 2020

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ICC - International Chamber of Commerce published this content on April 24, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on April 24, 2025 at 08:16 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at support@pubt.io