Incoterms Guide (EXW, FOB, CIF)
Choose the right trade term to control cost, risk, and delivery responsibility.
Incoterms (EXW vs FOB vs CIF)
Why this matters
Buyers get faster, more accurate quotations—and fewer shipment issues—when RFQs include clear specs, acceptance criteria, and destination/Incoterms. Use this guide as a reusable checklist for every purchase.
Incoterms Overview
EXW: Buyer controls pickup and export coordination (more control, more work)
FOB: Supplier delivers to port and clears export; buyer controls main freight
CIF: Supplier includes main freight to destination port; buyer handles import clearance
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Practical tips
- Use EXW for consolidation-heavy requirement lists
- Use FOB for flexibility with freight
- Use CIF for a single landed-to-port price (confirm inclusions)
FAQ
FOB is often a good balance for first-time industrial buyers.
Yes—request EXW and FOB/CIF to compare.
It impacts responsibilities; document set depends on transaction and destination.