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Excuse me, has anyone ever dealt with the DAF clause before?
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TRACKING NO. 20260120 / GLOBAL Zhongshen Trade · 23+ Years of Expert Trade Agency
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We have a Russian client who wants to deliver the goods in Manzhouli using the DAF clause. I haven't handled DAF transactions before and would like to ask how this clause works in practice. Is it risky? What particular points need special attention?

Jason WuYears of service:10Customer Rating:5.0
International Logistics & Supply Chain ManagerStart a Chat
Under the DAF terms,as the seller,you are responsible for all risks and costs until the goods are delivered to the designated border delivery point,and you must complete the export customs clearance. The core risk lies in the fact that the division of responsibilities at the border delivery point is highly prone to disputes. You must ensure the following: 1) Precisely describe the delivery location in the contract (specifically on which side of the national border,at which yard or warehouse),2) Confirm in advance all licenses and inspection documents required for export customs clearance,especially for products subject to regulatory approval,3) Clearly stipulate who is responsible for the temporary storage costs and demurrage risks at the border of the importing country. If the goods are inspected or detained at the border,the losses may far exceed expectations.
Linda GaoYears of service:7Customer Rating:5.0
Documentation SupervisorStart a Chat
For DAF terms, rail or road transport is the preferred option. You need to confirm the loading/unloading capacity and storage fees at the border ports with your freight forwarder in advance. The operational process is as follows: You are responsible for domestic transportation and export customs declaration. After the goods arrive at Manzhouli (or a designated border station), you will complete the unloading and notify the buyer to pick up the goods. Key points:
1. Obtain the warehouse receipt and handover records at the border warehouse in advance;
2. Confirm that the buyer has completed the import formalities at the border;
3. It is recommended to require the buyer to pay the final payment before completing the border handover to avoid the goods waiting for payment.
In terms of cost, it is cheaper than CIF, but the risk transfers to the border. It is essential to purchase transport insurance until the delivery point.
Evelyn LiYears of service:3Customer Rating:5.0
Cross-border Compliance SupervisorStart a Chat
When discussing DAF terms with clients, it is recommended that you proactively propose a solution of "electronic release of bills of lading before the border + payment of the balance upon receipt of scanned copies", which not only demonstrates professionalism but also helps control risks. The phrasing could be: "To ensure the smooth handover of the goods at the border, we suggest that your company complete the payment of the balance three working days before the goods arrive at Manzhouli. We will then arrange for the border warehouse to release the goods immediately." At the same time, it should be clearly stipulated in the contract that if the goods are detained for more than 7 days due to the buyer's incomplete import procedures, the storage fees and risks will automatically be transferred to the buyer. This approach can not only promote cooperation but also identify potential dispute points in advance.