Ex WorksEXW
When the goods are placed at the buyer's disposal at the seller's premises, not loaded.
EXW (Ex Works) is the Incoterms® 2020 rule that places the least responsibility on the seller. The seller meets its obligation by making the goods available at its own premises — typically a factory or warehouse — without loading them onto the buyer's collecting vehicle and without clearing them for export. EXW can be used for any mode of transport and belongs to group E, the point of departure.
Under EXW both cost and risk pass to the buyer at the seller's premises, the moment the goods are placed at the buyer's disposal. From that point the buyer bears everything that follows: loading, export clearance, the main carriage, insurance — which the rule does not require — and import clearance and duties at destination.
Because the buyer must complete export formalities in the seller's own country, FCA is the related rule that assigns export clearance and loading to the seller while the buyer still arranges the main carriage.
Cost & risk along the journey
Who is responsible
Turkey delivery code
Frequently asked questions
- QWhat does EXW mean in Incoterms 2020?
- AEXW stands for Ex Works. The seller makes the goods available at its own premises and the buyer takes over from there, bearing all cost and risk including export clearance. It is the seller's minimum obligation.
- QWhen does risk transfer under EXW?
- ARisk transfers when the seller places the goods at the buyer's disposal at the named premises, not loaded onto any collecting vehicle.
- QWho pays for transport under EXW?
- AThe buyer arranges and pays for all transport, from loading at the seller's premises through to the final destination.
- QWho clears the goods for export under EXW?
- AThe buyer is responsible for export clearance, even though the goods depart from the seller's country.
- QIs insurance required under EXW?
- ANo. The Incoterms rules do not oblige either party to insure the goods under EXW. The buyer carries the risk and may arrange insurance at its own discretion.
- QWhich transport modes can EXW be used for?
- AEXW can be used for any mode of transport, including multimodal shipments.
- QWhat is the difference between EXW and FCA?
- AUnder EXW the buyer handles loading and export clearance; under FCA the seller loads the goods and clears them for export, while the buyer still arranges the main carriage.
Incoterms® is a registered trademark of the International Chamber of Commerce (ICC) and the official rules are copyright ICC. This is a factual reference in logibook's own words — not the ICC rules; always rely on the official ICC Incoterms® 2020 text for the binding rules.