What is the difference between DAP and DPU?

According to the ICC, under DAP the seller does not unload the goods at the destination, while under DPU the seller does unload them.

Do Incoterms cover delay penalties?

No. The US International Trade Administration notes that Incoterms do not address liability for delayed delivery.

Which Incoterms are used when buying an oxygen plant abroad?

Q: Which Incoterms are used when an oxygen plant is bought internationally, and how do they split shipping, installation and risk?

UNOPS and CHAI oxygen plant tenders published in 2022 specify an Incoterms 2020 rule for delivering the plant: UNOPS used CPT, with installation, testing, commissioning, training and after-sales services also in the scope, and CHAI used DAP, with customs clearance, if needed, done by CHAI.

Which Incoterms are used when an oxygen plant is bought internationally, and how do they split shipping, installation and risk?

Examples from published tenders

Tender	Incoterms 2020 rule	What else the notice states
UNOPS, ITB/2022/43573, two PSA oxygen plants (published 14 September 2022)	CPT	Supply and delivery including installation, testing, commissioning, training and after-sales services
CHAI, RFP/CHAI/OSC/0122, containerised PSA plant with cylinder filling station (posted 9 May 2022)	DAP	Customs clearance and duties, if needed, done by CHAI; transport by sea

WHO's Foundations of medical oxygen systems (2023) lists shipping methods, insurance and trade terms such as Incoterms among the factors that make the acquisition cost of a PSA system vary.

Where each rule puts delivery, cost and risk

The International Chamber of Commerce (ICC) publishes the Incoterms rules: eleven three-letter trade terms for contracts for the sale and purchase of goods. HM Revenue and Customs groups seven of the rules as rules for any mode of transport and four as rules for sea and inland waterway transport, and the US International Trade Administration notes that each rule sets when the risk of loss or damage passes from seller to buyer by reference to its delivery provision. The rules for any mode of transport, as summarised by HM Revenue and Customs (June 2025):

Rule	Summary
EXW, Ex Works	The seller places the goods at the buyer's disposal at its premises or another named place, without loading them or clearing them for export
FCA, Free Carrier	The seller delivers to the carrier or person nominated by the buyer at a named place; the risk passes to the buyer at that point
CPT, Carriage Paid To	The seller delivers to a carrier it nominates and contracts and pays for carriage to the named place of destination
CIP, Carriage and Insurance Paid To	As CPT, and the seller also contracts insurance against the buyer's risk during carriage; ICC says the 2020 rule requires cover compliant with the Institute Cargo Clauses (A) or similar
DAP, Delivered at Place	The seller delivers on the arriving means of transport, ready for unloading at the named destination, and bears all risks to that place
DPU, Delivered at Place Unloaded	As DAP, but the seller also unloads the goods at the named destination and bears that risk
DDP, Delivered Duty Paid	The seller delivers cleared for import, bears all costs and risks to the destination, and clears export and import and pays the duties

What Incoterms leave to the contract

According to the US International Trade Administration, Incoterms do not address all the conditions of a sale: they do not set the price or the method and timing of payment, say when title passes, specify the documents needed for customs clearance in the buyer's country, or deal with liability for non-conforming goods, delayed delivery or disputes, and the parties need to state which version they use. In the UNOPS tender above, installation, testing, commissioning, training and after-sales services were part of the scope alongside the CPT delivery term. The wider contract scope is covered in what is included in a turnkey PSA contract and how a PSA plant is delivered and installed.