CPT – Carriage Paid To
Incoterms® 2020 rule: transfer of risk, cost sharing and customs responsibilities.
The CPT rule in brief
CPT (Carriage Paid To) is a rule in Incoterms® 2020 that can be used for any mode of transport: "Carriage paid to". It sets, in the sales contract, how delivery of the goods and costs and risks are shared between seller and buyer.
When does risk transfer?
When the goods are handed over to the first carrier
Export clearance
The seller
Import clearance
The buyer
Seller's obligations
Contracts and pays for carriage to the named destination; risk passes to the buyer when the goods are handed to the first carrier.
Buyer's obligations
Handles import clearance and pays costs after arrival; insurance is not mandatory and is arranged by the buyer if needed.
When is it used?
Used for shipments where the seller manages the transport but risk is transferred early.
This page is for general information; for the full scope of rights and obligations, see the ICC's official Incoterms® 2020 text and your contract terms.
Frequently asked questions
What is CPT?
CPT (Carriage Paid To) is a rule in Incoterms® 2020 that can be used for any mode of transport: "Carriage paid to". It sets, in the sales contract, how delivery of the goods and costs and risks are shared between seller and buyer.
What is the difference between CPT and CIP?
CPT: Contracts and pays for carriage to the named destination; risk passes to the buyer when the goods are handed to the first carrier. CIP: In addition to CPT obligations, takes out minimum insurance under ICC (A) "all risks" cover.