Ex Works (EXW) Incoterm

Using Ex Works

When using Ex Works, or the EXW Incoterm, the seller must prepare the goods for collection at his premises (office, warehouse, factory, etc.) to be collected by the buyer. In terms of cost and risk, this incoterm requires the minimum obligation for the seller and the greatest responsibility for the buyer .

The EXW incoterm is versatile in that it can be used regardless of the mode of transport chosen. However, the term Ex Works should not be used if the buyer cannot directly or indirectly complete the import procedures. If that is the case, the FCA incoterm should be used.

Seller’s obligations under EXW

  • Delivery of goods and documents required
  • Packaging and wrapping

Buyer’s obligations under EXW

  • Payment of the goods
  • Inland transportation in the country of origin
  • Customs at place of origin
  • Exit charge
  • International freight
  • Insurance
  • Arrival expenditures
  • Customs on arrival
  • Inland transportation at the destination country
  • Payment of fees

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