incoterm_responsibility
Analyzes the precise cost and risk allocation for any Incoterms 2020 rule on a specific lane, detailing transfer points, payment responsibilities, and common pitfalls.
Instructions
Explain the EXACT cost & risk split between the SELLER (exporter) and the BUYER (importer) for an Incoterms® 2020 rule on a lane — the decision an importer makes when they agree 'FOB Shanghai' vs 'DDP my-warehouse', which a thin agent routinely gets wrong. Returns the precise POINT at which risk of loss/damage transfers (EXW at the seller's works; FCA/CPT/CIP at the first-carrier hand-over; FAS alongside the ship; FOB/CFR/CIF once ON BOARD; DAP/DDP at destination ready; DPU once unloaded), who pays each step (export clearance, origin haulage, the main international freight, destination terminal handling, on-carriage, import clearance, and the destination DUTY + import VAT/tax), and whether the rule MANDATES cargo insurance and at what level (CIF mandates only ICC C minimum; CIP mandates ICC A all-risk). It flags the classic traps: FOB/CFR/CPT put the TRANSIT RISK on the buyer (CFR/CPT even though the seller pays the freight); DDP loads the seller with destination customs and import VAT; EXW puts export clearance on the buyer; and FOB on CONTAINERS is the wrong rule (the ICC recommends FCA for terminal hand-over) — with a container-appropriateness warning. Indicative summary of the ICC rules — NOT legal, contractual or customs advice (regla 7). PREMIUM: pay per call with x402 (USDC on Base) or set a prepaid key (FREIGHT_PULSE_KEY). Same UN/LOCODE port normalization as get_spot_rate.
Input Schema
| Name | Required | Description | Default |
|---|---|---|---|
| origin_port | Yes | Origin/load port (city, UN/LOCODE, or 'City, Country'). | |
| dest_port | Yes | Destination/delivery port (city, UN/LOCODE, or 'City, Country'). | |
| incoterm | Yes | The Incoterms 2020 rule to analyse: one of EXW, FCA, FAS, FOB, CFR, CIF, CPT, CIP, DAP, DPU, DDP. REQUIRED. | |
| container_type | No | Container size '20ft'/'40ft'/'40HC' (drives the container-appropriateness check). Optional; defaults to '40ft'. | |
| product | No | Optional product description (informational context only). |