What Is FOB (Free on Board)? | Incoterms Explained for Global Trade

Understanding FOB (Free on Board) – Explained Simply FOB, or Free on Board, is one of the most widely used Incoterms in international trade. It defines who is responsible for costs, risks, and logistics at different stages of shipping. Under FOB, the seller handles all expenses and risks until the goods are loaded onto the ship at the agreed port of shipment. Once on board, the buyer takes over — covering freight, insurance, import duties, and final delivery. This Incoterm helps both parties clearly understand their roles, ensuring smoother and dispute-free international transactions. For accurate reference, always consult Incoterms® 2020 by the International Chamber of Commerce (ICC). If you’re involved in global trade, you can access worldwide trade data, buyer/seller profiles, tariff insights, and company due diligence tools through https://www.adamftd.com — your essential resource for smarter global trade decisions. #FOB #FreeOnBoard #Incoterms #ShippingTerms #GlobalTrade #ExportImport #TradeEducation #FreightForwarding #InternationalTrade #Logistics #TradeCompliance #MaritimeShipping #Incoterms2020 #Exporters #ShippingExplained