DDP (Delivered Duty Paid): what it is and how it works in e-commerce
Under DDP, the price the buyer pays in the store already includes international shipping, customs and taxes. The logistics operator settles those taxes at destination on the seller's behalf and bills them together with the service.
It is the arrangement that gives the buyer the best experience and the one marketplaces prefer, because it eliminates the most common cross-border delivery failure: the buyer who refuses to pay taxes at the door. In exchange, the seller has to estimate each product's tax in each country accurately to build it into the price.
How DDP works in our operation
MailAmericas offers DDP in its main Latin American destinations: taxes are calculated by country and product category, settled at clearance and passed through to the seller on the service invoice, with no markup on the tax. The parcel reaches the buyer with nothing to pay at destination.
Request a quoteFrequently asked question
Is DDP more expensive than DDU?
The tax is the same; what changes is who pays it and when. Under DDP the seller advances it and builds it into the price. In practice DDP usually costs less overall because it avoids returns caused by tax refusal.