What is DDP Shipping?
DDP stands for Delivered Duty Paid. It means the seller (or their agent) takes full responsibility for delivering goods to your door — including shipping, customs clearance, import duties, and local delivery. The buyer simply receives the goods at their warehouse.
DDP vs. FOB vs. CIF: Key Differences
| Incoterm | Who Handles Shipping | Who Pays Customs | Risk Transfer Point | Buyer Effort |
|---|---|---|---|---|
| EXW | Buyer | Buyer | Factory gate | Highest |
| FOB | Buyer | Buyer | Port of loading | High |
| CIF | Seller (to port) | Buyer | Port of destination | Medium |
| DDP | Seller | Seller | Buyer's door | Lowest |
How DDP Shipping Works (Step by Step)
- Goods packed at Chinese factory or supplier warehouse
- Domestic transport to Chinese port or airport
- Export customs clearance in China (handled by forwarder)
- International shipping — sea freight (25-40 days) or air freight (5-15 days)
- Import customs clearance in destination country
- Import duties and taxes paid (included in DDP price)
- Last-mile delivery to your warehouse door
What's Included in DDP Pricing
- Factory-to-airport/port trucking in China
- Export customs clearance fees
- International freight charges
- Marine/air insurance
- Import customs brokerage
- Import duties, VAT, and taxes
- Local delivery to your address
Total DDP cost is typically 15-30% higher than FOB price, but includes everything.
Benefits of DDP for Importers
1. No Surprise Costs
With DDP, you know the total cost upfront. No unexpected customs fees, storage charges, or broker fees at the destination.
2. Less Paperwork
The shipper handles all documentation — commercial invoice, packing list, bill of lading, certificate of origin, and customs declarations.
3. Faster Delivery
Professional DDP providers streamline every stage. Customs clearance is pre-arranged, reducing delays.
4. No Customs Headaches
The DDP provider has established relationships with customs brokers at the destination, ensuring smooth clearance.
When to Choose DDP
- First-time importers unfamiliar with customs
- Small to medium shipments (under 5 CBM)
- High-value products needing insurance
- Time-sensitive orders where delays cost money
- Importing to countries with complex customs (US, EU, UK)
DDP Costs by Destination (Approximate)
From China (Shanghai/Shenzhen) to:
| Destination | Sea (40 days) | Air (10 days) |
|---|---|---|
| US West Coast (LA) | $800-2,000/CBM | $5-8/kg |
| EU (Rotterdam) | $1,500-3,000/CBM | $6-10/kg |
| UK (London) | $1,800-3,500/CBM | $7-12/kg |
| Australia (Sydney) | $1,200-2,500/CBM | $5-9/kg |
| UAE (Dubai) | $900-2,000/CBM | $4-7/kg |
CSMG Supply Chain: End-to-End DDP Service
We offer comprehensive DDP shipping as part of our sourcing service. Combined with our LC credit sales program, you can:
- Source products from China
- Ship DDP to your door
- Pay after goods arrive (qualified buyers)