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Exporting Under DDP Terms: What should businesses prepare?

Vietnam Post Logistics
30 July, 2025
5 phút đọc

Exporting under DDP (Delivery Duty Paid) terms means the seller bears full responsibility until the goods are delivered to the buyer’s doorstep in the destination country, including import duties and taxes. While this is the “maximum obligation” delivery method, it is also the key to enhancing the international customer experience, especially in e-commerce and direct export.

However, to successfully execute DDP shipments, businesses must prepare thoroughly in terms of documentation, costs, and downstream logistics capabilities. This article explains what needs to be prepared for DDP exports and how Vietnam Post Logistics offers a safe – transparent – optimized full-process solution.

Exporting under DDP terms

What is DDP, and Why Is It Increasingly Popular?

DDP (Delivery Duty Paid) is an Incoterm in which the seller takes on all risks and costs until the goods reach the buyer’s designated address, including: 

  • Domestic transport in the exporting country
  • Export customs clearance
  • International shipping
  • Import customs clearance
  • Import duties and taxes
  • Final-mile delivery in the destination country

With DDP, the buyer essentially does nothing except receive the goods — making it a strong competitive edge, especially in cases such as:

  • Delivery to Amazon FBA or e-commerce fulfillment centers
  • Cross-border B2C/B2B export
  • Foreign partners who do not want to handle logistics

What Do Businesses Need to Prepare for DDP Exports?

1. Accurate Product Information & Complete Documentation

Ensure all input data is standardized:

  • Product details: commercial name, ingredients, usage
  • HS code: must be accurate, directly impacts taxes
  • Commercial documents: Invoice, Packing List, CO, CQ, MSDS (if required)
  • Special requirements: Export licenses, quarantine certificates, technical standards

Errors in HS codes or missing documents are the top reasons for goods being held by destination customs.

2. Precise All-Inclusive Cost Calculation

Typical DDP shipment cost components include:

  • Domestic transport in Vietnam
  • Export customs clearance fees
  • International shipping (air/sea/express)
  • Import customs clearance in the destination country
  • Import duties, VAT, port/airport charges
  • Final-mile delivery costs

A misquoted price or missing cost can result in the seller losing the entire shipment value. Thus, an experienced logistics partner is essential for transparent all-in quotes.

3. Downstream Logistics Handling Capacity

This is the most demanding part of DDP:

  • Who will file customs declarations in the destination country?
  • Who will pay the duties?
  • Who handles customs inspections, if required?

Without a reliable international logistics partner, import-side risks are high:

  • Shipments may be held
  • Storage and penalty fees may arise
  • Damage to reputation with foreign buyers

4. Shipment Tracking and Delivery Confirmation

Even with door delivery, businesses should:

  • Monitor international shipment tracking
  • Verify customs clearance status
  • Schedule final-mile delivery
  • Obtain Proof of Delivery (POD) from the buyer

Common Mistakes Businesses Make with DDP

Lack of Research on Import Regulations

Each country has unique policies: some goods are banned, others need licenses, quarantine, or certification. Blind reliance on customer feedback or assumptions may lead to:

  • Held shipments due to missing permits (e.g., FDA, CE, KC)
  • Prohibited imports
  • Goods returned or destroyed at the port

Self-determined HS Codes Without Expert Advice

Misdeclaring HS codes leads to:

  • Incorrect duties, back taxes, or fines
  • Misclassified goods are impacting the required documents
  • Higher risk of inspection or shipment detention

Underestimating or Missing Hidden Costs

Many businesses only account for shipping and import taxes, but forget:

  • Destination customs handling fees
  • Tax administration fees
  • Port/airport cargo pick-up charges
  • Handling fees, local charges at the destination
  • Local delivery costs (often 2–3 times higher than in Vietnam)

Result: Financial loss immediately after delivery due to DDP pricing not reflecting true costs.

No Local Agent to Handle Customs at Destination

Common problems include:

  • No one to file import customs
  • Inability to pay duties under the local tax ID
  • No handler for documentation issues or held shipments

Businesses become passive — delivery attempted, but not completed — causing financial and reputational damage.

Too Many Service Providers, No Process Control

Some businesses split tasks between:

  • A pickup agent
  • A customs broker
  • An international freight forwarder
  • A final-mile delivery agent

This fragmentation leads to:

  • Disjointed communication
  • No single point of responsibility
  • Poor incident resolution

End-to-End DDP Solutions from Vietnam Post Logistics

Vietnam Post Logistics

Vietnam Post Logistics is a reputable and high-quality logistics provider, pioneering in delivering end-to-end logistics solutions for both domestic and international business customers.

Currently, Vietnam Post Logistics offers full-package DDP export services from Vietnam to over 100 countries, with comprehensive capabilities from A to Z:

Transparent All-In Pricing

  • Complete route and cargo-type analysis
  • Clear breakdown of all fees
  • HS code consulting and document standardization
  • Expert customs consulting for special paperwork

Global Agent Network

  • Worldwide logistics network
  • Authorized to declare and pay taxes on behalf of clients — rare among Vietnamese forwarders

End-to-End Monitoring & Last-Mile Control

  • Full process management from booking to final POD
  • Issue handling and customer response within 24 hours

Insurance & Legal Consulting

  • Risk analysis by product type
  • Tailored insurance advice for high-value goods

DDP is an ideal delivery condition to elevate international customer experience, but it comes with many responsibilities, risks, and operational requirements. Businesses cannot rely solely on carriers or improvised agents — they need a logistics partner with:

  • International experience
  • Reliable global network
  • Import-side handling capability
  • Professional, unified services

Vietnam Post Logistics is among the few Vietnamese companies capable of delivering full-package DDP services — from consulting to operations, legal, customs, and final delivery — all in a professional, transparent, and cost-effective manner.

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