EXW vs FOB — True Cost Comparison

EXW or FOB — Which Actually Costs Less?

Enter your shipment details to see the true cost difference, who controls what, and which term gives you the better deal.

Fill in shipment details above to calculate.

What the Terms Mean

EXW and FOB — Where the Risk Transfers

The Incoterm you use defines exactly where your supplier's responsibility ends and yours begins.

Maximum buyer responsibility

EXW — Ex Works

Under EXW, the seller's only obligation is to make the goods available at their premises. Everything from that point is the buyer's problem.

Risk transfer

Risk transfers at the seller's factory gate

Risk transfers at port

FOB — Free On Board

Under FOB, the seller is responsible for delivering the goods to the named port of shipment and loading them onto the vessel nominated by the buyer.

Risk transfer

Risk transfers when goods are loaded on the vessel

The Hidden Costs

What EXW Actually Adds to Your Cost

The EXW price looks lower — but you're paying for every step to the port separately, often at worse rates than your supplier gets.

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Decision Guide

When to Use EXW vs FOB

Choose EXW when:

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Choose FOB when:

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FAQ

Frequently Asked Questions

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