When you ship goods from the UK to another country, international shipping terms, standard rules that define who pays for transport, insurance, and customs fees in global trade. Also known as Incoterms, these are the backbone of every cross-border deal. After Brexit, getting this wrong can mean stuck cargo, surprise taxes, or even lost shipments. It’s not about legal jargon—it’s about knowing who’s responsible when the truck breaks down in Calais or the customs form gets rejected in Rotterdam.
These terms aren’t optional. They’re used in over 90% of UK export contracts. The latest version, Incoterms 2020, the current global standard for trade terms published by the International Chamber of Commerce, changed how duties and risk are split between buyer and seller. For example, if you use FOB, a shipping term meaning Free On Board, where the seller covers costs until goods are loaded onto the ship, you’re on the hook for getting the goods to the port. But if you pick DDP, Delivered Duty Paid, where the seller handles everything including import taxes, you’re managing customs clearance in the buyer’s country. One mistake in choosing the right term can cost you thousands in penalties or delays.
It’s not just about picking a term—it’s about matching it to your business. A small UK manufacturer shipping to Germany might use EXW (Ex Works) to keep control low, while a London-based distributor shipping to the US might prefer CIF to include insurance and freight in their quote. The right term affects your cash flow, your liability, and even your insurance coverage. Many UK businesses still use old terms from pre-Brexit days, not realising that customs rules now treat the EU like a third country. That’s why knowing the difference between CFR and CPT matters more than ever.
What you’ll find below are real, practical guides from UK traders who’ve been there—how to avoid the top mistakes, how to read a bill of lading, how to negotiate terms that protect you, and how to handle customs paperwork without hiring a consultant. These aren’t theory pages. They’re step-by-step fixes for the problems you’re facing right now. Whether you’re shipping your first pallet or scaling exports across five countries, the posts here give you the exact details you need to move goods safely, legally, and profitably.
Learn how UK exporters should choose between DDP and DAP Incoterms to manage costs, risks, and customs responsibilities. DAP is the safest option for most small businesses.
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