Free on Board (FOB – U.S. Domestic Use)

Shipped under a rate that includes costs of delivery to and the loading onto a carrier at a specified point.

• FOB Freight Allowed:The same as FOB named inland carrier, except the buyer pays the transportation charge and the seller reduces the invoice by a like amount.
• FOB Freight Prepaid:The same as FOB named inland carrier, except the seller pays the freight charges of the inland carrier.
• FOB Named Point of Exportation:Seller is responsible for the cost of placing the goods at a named point of exportation. Some European buyers use this form when they actually mean FOB vessel.

FOB Vessel: Seller is responsible for goods and preparation of export documentation until actually placed aboard the vessel.