Definition
EXW (Ex Works) under Incoterms 2020 means the seller makes the goods available at a named place (often the factory). The buyer arranges loading (unless otherwise agreed), export clearance, main freight, insurance and import. It is usually the least inclusive seller obligation.
Worked example
EXW Dongguan: you book the forwarder to collect at the factory, handle export docs, ocean freight and UK import. Your landed cost stack starts at the factory gate.
Why it matters for replenishment
EXW quotes look cheap per unit but push almost all logistics cost and delay onto you — underestimating lead time is easy.
Guides & calculators
Educational overview of common shipping terms including Incoterms® 2020 concepts. Not legal, customs or tax advice. Incoterms® is a trademark of the International Chamber of Commerce (ICC). Confirm the exact rule and named place in your contract, and speak to your freight forwarder or adviser for live shipments.