exworks

Ex works, often abbreviated as EXW, is an Incoterm (International Commercial Term) published by the International Chamber of Commerce (ICC). It defines the point at which the seller's responsibility for goods ends and the buyer's responsibility begins. Under an EXW arrangement, the seller makes the goods available at their own premises, such as a factory, warehouse, or workshop. The buyer is responsible for all costs and risks associated with loading the goods onto the collecting vehicle, as well as all subsequent transportation, insurance, customs duties, and import formalities. This means the buyer handles the entire export process, including obtaining export licenses and performing export customs declarations. The seller's obligation is minimal; they only need to ensure the goods are properly packaged and ready for collection at the designated location. EXW is considered the term that imposes the least obligation on the seller. It is most commonly used for domestic transactions but can also be used for international shipments, although in such cases, the buyer may face difficulties in fulfilling export customs requirements in the seller's country.