Is FCA the same as FOB?

Is FCA the same as FOB?

Summary of (Free Carrier vs Free On Board) FCA vs FOB FCA applies to all modes of transport; FOB only applies to transport by waterway or sea. FCA considers goods delivered once seller places goods on transport arranged by buyer. FOB considers goods delivered once seller places goods on board specified vessel.

What does FCA mean in shipping terms?

Under the shipping terms for the FCA Incoterms (short for “Free Carrier”), the seller is responsible for export clearance and delivery of goods to the carrier at the named place of delivery.

What is the difference between FCA and EXW Incoterms?

Of all the rules, the EXW term places the least amount of risk on the seller, leaving the buyer with the majority of the responsibility. FCA determines that the risk transfer occurs when the seller loads the goods on the buyer’s transport or when the seller delivers the goods to a named place of delivery.

Who pays freight on FCA terms?

Once the goods arrive at the named place, the buyer is responsible for the unloading of the goods and all transportation going forward, including freight costs, import duties and fees, and insurance. FCA is one of the Incoterms affected by the Incoterms 2020 update.

Does FCA replace FOB?

Companies that ship domestically within the United States often use the trade term FOB—Free On Board.

Is FCA a domestic shipping term?

FCA is available for both domestic and international transactions. If the transaction is an international trade then the seller will need to complete any export formalities required by its country’s authorities.