INCOTERMS-FOB

Seller delivers loaded on board FOB.

Definition

FOB is the most-used maritime Incoterm for bulk cargo. For containers, FCA is technically more appropriate (the container is delivered to the terminal before carrier loading), but FOB remains massively used by habit.

Origin

Present since Incoterms 1936 ; quasi-unchanged in 2020.

Example in context

A Saudi oil producer sells FOB Jubail to TotalEnergies — risk transfers when the tanker is loaded.

Related terms

• CFR — twin with seller transport costs.