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Incoterms

What is FCA?

FCA (Free Carrier) — multimodal delivery, export clearance, and alternative to FOB for air and container exports.

Reading time: 7 min read·Updated: 2026-06-29·Author: Trade31

FCA delivers goods to the carrier or person nominated by the buyer at the named place — suitable for all transport modes including air.

Table of Contents

  1. Meaning and When to Use FCA
  2. Division of Responsibilities, Risk, and Cost
  3. Pricing and Cost Practice
  4. Documents and Compliance

Meaning and When to Use FCA

FCA (Free Carrier) is an Incoterms® 2020 rule for international trade. FCA works for any mode — especially air, rail, and FCL handover at carrier terminal.

Always state the full format in contracts — e.g. "FCA Shanghai, Incoterms® 2020" — not the acronym alone.

Choose FCA based on who can best arrange carriage, insurance, and import clearance.

Division of Responsibilities, Risk, and Cost

Under FCA, responsibilities typically split as follows:

  • Seller: Deliver goods cleared for export to carrier at named place
  • Seller: Provide commercial invoice and export documents
  • Buyer: Contract main carriage from handover point
  • Buyer: Bear risk from delivery to carrier onward

Risk passes when goods are delivered to the buyer's carrier at the named place.

Pricing and Cost Practice

FCA price includes seller-side costs to the handover point (factory, warehouse, or airport cargo terminal). Use FCA Calculator for air and multimodal quotes.

Documents and Compliance

Air exports often use FCA Airport instead of FOB. Documents include commercial invoice, packing list, and air waybill once buyer's forwarder takes charge.

Examples

Example — FCA Shanghai Pudong air

Seller delivers cleared cargo to buyer's forwarder at PVG cargo terminal — risk passes at handover.

Example — FCA vs FOB container

FCL handed to liner at CY under FCA; FOB requires loading on vessel at port.

FAQ

FCA vs FOB for air freight?
Use FCA for air — FOB is not valid for air under Incoterms® 2020.
Who loads under FCA?
Depends on named place — if seller premises, buyer loads; at terminal, seller often delivers ready for carrier.
Does FCA include export clearance?
Yes — seller must clear export unless parties agree EXW-like variant (discouraged).
FCA named place examples?
FCA Factory, FCA Shanghai Terminal, FCA Carrier XYZ Warehouse.
Is FCA common for e-commerce?
Yes for cross-border parcels handed to integrators or postal carriers.

Related Tools

  • Truck

    FCA Calculator

    Calculate FCA (Free Carrier) price — all seller costs to handover at the named place. Local browser.

  • Calculator

    EXW Calculator

    Calculate EXW ex-works price from factory cost and margin. All processing stays in your browser.

  • Calculator

    FOB Calculator

    Calculate FOB price from product cost, packaging, inland freight, and export charges. Runs locally in your browser.

Related Articles

  • What is EXW?

    EXW (Ex Works) explained — minimal seller obligation, buyer export clearance, and when factories quote EXW.

  • What is FOB?

    FOB (Free on Board) is one of the most widely used Incoterms. Learn its meaning, risk transfer, pricing practice, and FAQs.

  • FOB vs EXW: Which Incoterm to Use

    Compare EXW factory delivery with FOB port loading — export clearance, cost, and risk for importers.

Related Resources

  • Commercial Invoice Excel Template (Professional)

    Enterprise-ready commercial invoice workbook with Invoice, Packing List, and Instruction sheets. Includes Seller/Buyer, Incoterms® 2020, HS codes, bank details, and filled examples aligned with international trade practice.

Conclusion

FCA is the flexible multimodal counterpart to port-only FOB. Use the FCA Calculator alongside EXW and FOB guides.

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