In a world where reality often blurs with fantasy, it can be hard to separate fact from fiction. Imagine trying to negotiate a trade deal with a fire-breathing dragon, or settle a shipping dispute with a mermaid—the lines between myth and reality would be thoroughly blurred! But, there is one fantastical rumor in the world of international trade that I can address definitively today: despite whispers you might hear online surrounding Incoterms 2024, the truth is, they simply don’t exist.
Incoterms are a set of internationally recognized trade terms published by the International Chamber of Commerce (ICC). They’re typically updated every decade, with the latest version being Incoterms 2020. Incoterms 2020 are the most up-to-date terms and the ones you should use for your international shipments.
What Are Incoterms?
Incoterms define the responsibilities of buyers and sellers when it comes to costs, risks and tasks associated with an international shipment. They eliminate confusion and ensure everyone is on the same page, from the moment the goods leave the factory to their arrival at the final destination. Incoterms are known and implemented by all major trading nations.
Incoterms in 2024: Which Terms to Use
When a seller and a buyer agree to use a particular Incoterm, each accepts the corresponding obligations and responsibilities as defined under that particular term. Incoterms reduce the risk of legal complications by clearly defining the role of buyers and sellers in an international transaction.
Below are the 11 Incoterms 2020 rules that are currently in use. (We’ve written separate articles on each term, along with a helpful overview of all 11 terms in our article An Introduction to Incoterms.)
By familiarizing yourself with Incoterms, you’ll be better equipped to navigate the complexities of international trade.
Incoterms Resources
Now that you’re in on the myth of Incoterms 2024, we have a sure way to keep you from falling for what will likely be next year’s international trade rumor: Incoterms 2025. Check out the resources below and subscribe to this blog—we’ve been writing about Incoterms for decades and will surely let you know the next time these trade terms get an update.
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