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Incoterm Location 1 - Can it remain empty in BP masterdata and sales order?

KatjaWa
Participant
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1,069

Hi all,

there are some questions regarding the incoterms and the error handling. 

When the incoterms ID (like "EXW") are maintained in the BP master data, there is an error occurring which tells me to fill the incoterms location. In customizing, there is no way to change this error handling. Also for sales orders - in the incompleteness procedure I can only set the incoterm ID, but not especially the field "incoterms location". 

Is there any chance that the incoterms ID can be used without the field "incoterms location"? 

Thanks and best regards

Katja 

Accepted Solutions (1)

Accepted Solutions (1)

Patryk_Waledziak
Participant
0 Kudos

Hello Katja,

In SAP Public Cloud, the requirement to maintain the Incoterms Location when specifying an Incoterms ID is enforced as part of standard validation logic, and there is no configuration option in customizing to change this behavior.

Why is the Incoterms Location Mandatory?

  1. SAP Standard Behavior: In SAP S/4HANA Public Cloud, the system enforces the completion of the Incoterms Location field when an Incoterm ID is assigned to ensure accurate logistics and compliance with international trade regulations.

  2. Legal & Business Requirements: Some Incoterms (like FOB, DAP, etc.) require a location to clarify responsibilities for delivery and cost allocation.

  3. Data Integrity: The system ensures that sales orders, deliveries, and invoices have the necessary information to avoid incorrect shipping or billing.

Some companies use EXW without a location because the pickup location is always the supplier’s address. However, SAP typically still expects a value. If "EXW" is used consistently without a specific location, you could set a generic default value, such as "Supplier Warehouse" or the company’s city.

Best regards,

Patryk Walędziak

Answers (0)