FOB

What is FOB?

Free On Board (FOB) obliges the seller to clear the goods for export and load them on the vessel you nominate at the named origin port; from that rail onwards, freight, insurance and risk are yours. It is the default quoted term from most Chinese factories and the fairest basis for comparing suppliers, because every quote starts from the same point. Arrange your own freight on top and you control the schedule, the forwarder and the total — instead of discovering the seller's idea of shipping at invoice time.