EXW (Ex Works) — INCOTERMS 2020 | FreightUtils

Seller makes goods available at their premises. Buyer bears all costs and risks from that point.

EXW — Responsibilities & Risk

Seller's Responsibility

Make goods available at named place (usually seller's premises). Export packaging.

Buyer's Responsibility

All transport, insurance, export/import clearance, duties, and risk from seller's premises to destination.

Risk Transfer Point

At seller's premises when goods are placed at buyer's disposal.

Cost Transfer Point

At seller's premises.

Insurance Obligation

No obligation on either party.

Export Clearance

Buyer (though seller must assist if requested).

Import Clearance

Buyer.

Best For

Domestic transactions or when buyer has strong logistics capability. Least obligation for seller.

Watch Out

Buyer assumes risk at seller's door — if goods are damaged during loading, buyer bears the loss. Not recommended for international trade as buyer must handle export clearance in seller's country.

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