# EXW risk

*Last updated: 2026-06-19*

> Unlike any other Incoterm, EXW (Ex Works) places the minimum possible obligation on the seller: goods are made available at the seller's premises or a named location, ready for collection – nothing more.

Unlike any other Incoterm, EXW (Ex Works) places the minimum possible obligation on the seller: goods are made available at the seller's premises or a named location, ready for collection – nothing more. From that point, the buyer bears all risks and costs, including loading, export clearance, main carriage, insurance, and import customs at destination. This can appear attractive to sellers, but creates a practical problem: the buyer must handle export formalities in the seller's country, which is difficult without a local presence or representative. EXW is common in intra-European trade where no customs borders exist; for intercontinental shipments, the ICC recommends FCA instead, which achieves a similar risk allocation without these drawbacks.

**Source:** [https://iccwbo.org/business-solutions/incoterms-rules/](https://iccwbo.org/business-solutions/incoterms-rules/)

## Quick Facts

| Property | Value |
|---|---|
| Term | EXW risk |
| Language | EN |
| Word count | 113 |
| Last updated | 2026-06-19 |
| Source | https://iccwbo.org/business-solutions/incoterms-rules/ |

---

*Logistics Glossary — Freight Academy: [https://www.freight-academy.com/en/glossary/exw-risk](https://www.freight-academy.com/en/glossary/exw-risk)*

*Markdown mirror: [https://www.freight-academy.com/api/md/glossary/en/exw-risk](https://www.freight-academy.com/api/md/glossary/en/exw-risk)*

*JSON summary: [https://www.freight-academy.com/api/v1/glossary/exw-risk/llm-summary?lang=en](https://www.freight-academy.com/api/v1/glossary/exw-risk/llm-summary?lang=en)*