Ex Works
Ex Works (EXW) is an Incoterm under which the seller only makes goods available at its own premises and the buyer handles all transport, export clearance, and risk.
Why it matters for ecommerce brands
Ex Works gives the lowest quoted price but the most work for the buyer, starting at the seller's door. The buyer arranges loading, export clearance in the seller's country, and every leg after that, which can be hard to do from abroad and creates compliance risk. For example, an EXW quote of $9.50 per unit can end up costing more than a $10 FOB quote once you add trucking to the port, export filing, and terminal charges. Many importers use FCA instead, where the seller handles export clearance.
Common questions
- Why is Ex Works risky for importers?
- Under EXW, the buyer is responsible for loading at the seller's premises and for export clearance in the seller's country, which can be hard to manage from abroad. Many importers prefer FCA, where the seller loads and clears for export.
- What is the difference between EXW and FCA?
- Under FCA, the seller clears the goods for export and hands them to the buyer's carrier at a named place, loading them if that place is the seller's premises. Under EXW, the buyer does all of that.
- When does EXW make sense?
- It can work for domestic deals, or when the buyer has a strong agent or forwarder in the origin country. For most importers, FCA or FOB avoids export clearance problems.
Cite this entry
"Ex Works (EXW)." Fulfillment Lexicon, last reviewed October 16, 2026. https://fulfillment.wiki/glossary/ex-works/