Reevol

GLOSSARY

EXW (Ex Works)

Incoterm where the seller's only obligation is making goods available at their premises; buyer handles all transport and export clearance.

EXW (Ex Works) is an Incoterms 2020 rule where the seller fulfills their obligation by making goods available at their own premises or another named place. The buyer assumes all costs and risks from that point forward, including export clearance, loading, and carriage.

Why it matters

EXW places maximum responsibility on the buyer. You arrange pickup, load the goods onto your truck, clear customs in the seller's country, and handle the entire journey. If you lack a presence or licensed broker in the origin country, export formalities can stall your shipment.

The ICC explicitly notes that EXW is unsuitable when the buyer cannot complete export procedures directly or indirectly. For cross-border transactions, consider FCA instead: the seller handles export clearance, reducing your compliance exposure.

Further reading