Articles A2 (Delivery) + A3 (Transfer of Risks) + A9 (Allocation of Costs) are the critical economic articles in Incoterms 2020. Risk transfer timing varies by Incoterm: EXW at seller premises; FCA at carrier delivery (FCA seller premises = loaded on transport; FCA other = at means of transport ready for unloading); CPT/CIP at first carrier; DPU at unloaded destination; DAP at named place ready for unloading; DDP at named place ready for unloading (buyer unloads); FAS alongside vessel at port of shipment; FOB on board vessel at port of shipment; CFR/CIF on board vessel at port of shipment. Cost allocation generally follows risk transfer point - costs prior to risk transfer borne by seller + after risk transfer borne by buyer; exceptions: CPT/CIP seller pays freight beyond risk transfer; CFR/CIF seller pays freight beyond risk transfer; DDP seller pays import duties beyond delivery. Critical for: customs valuation (FOB vs CIF affects duty calculation in some jurisdictions); insurance trigger (cargo damage during transit); incoterm-named place ambiguity (specific quay vs general port); contractual breach risk (party obligated at risk transfer); proof of delivery + damage. Incoterms 2020 strengthened A2/A3 clarity vs Incoterms 2010 + emphasised security-related obligations under A4/A7. Coordinates with CISG Article 31-33 (delivery) + Article 66-70 (risk passing) + national contract law + commercial dispute resolution.
The graph holds this control, the 0 it maps to, and the evidence behind each claim, over MCP and REST.