Buyer Beware: The Hidden Risks Of Unpaid Tariffs Under DDP

The Hidden Risks of Unpaid Tariffs Under DDP

Many U.S. companies assume that importing under Delivered Duty Paid (DDP) terms shields them from tariffs. It doesn't.

At our law firm, we're seeing a sharp rise in cases where buyers thought their overseas seller would handle all duties—only to end up facing unexpected customs bills, seized shipments, and operational delays.

With new China tariffs pushing costs even higher, misplaced confidence in DDP is becoming a costly mistake.

What Is DDP?

Delivered Duty Paid (DDP) is one of the Incoterms published by the International Chamber of Commerce. Under DDP, the seller bears full responsibility for delivering goods to the buyer's location, including: