What is the Incoterm associated with the highest level of responsibility placed on the seller?

The Incoterm associated with the highest level of responsibility placed on the seller is Delivery Duty Paid (DDP). This term indicates that the seller assumes full responsibility for delivering goods to a specified destination, which includes not only the transportation costs but also the risk and responsibility for customs duties and taxes.

Under DDP, the seller must take care of all arrangements necessary for transportation to the destination, including handling any import clearance and paying any applicable tariffs or taxes. This places a substantial burden on the seller, as they must ensure compliance with both domestic and international regulations, making it the term with the greatest level of obligation on their part.

In contrast, other Incoterms such as CFR, FOB, and CPT delegate some level of responsibility to the buyer or place limitations on the seller's obligations. For instance, under CFR, the seller pays for freight to the destination but is not responsible for insurance or unloading; FOB indicates that the seller’s responsibility ends when the goods are loaded onto the vessel; and CPT specifies that the seller pays for transport but does not cover import duties or the transfer of risk at destination. Thus, DDP clearly stands out as the Incoterm with the highest level of responsibility for the seller.