Which organization administers the International Commercial Terms known as Incoterms?

The International Chamber of Commerce administers the International Commercial Terms known as Incoterms.

Incoterms are standardized three-letter trade terms that allocate key responsibilities between sellers and buyers. They clarify matters such as delivery, transport costs, insurance responsibilities and the point at which risk transfers.

The first Incoterms rules were published by the ICC in 1936. The rules have been revised several times as shipping practices and commercial needs changed; Incoterms 2020 is the current edition widely referenced in modern contracts.

Incoterms do not determine ownership transfer, payment terms or every possible contractual obligation. They also do not replace a sales contract. Their purpose is narrower: to reduce uncertainty about delivery tasks, costs and risk in an international sale.