FOB— Free On Board(Giao lên tàu)
FOB (Free On Board) — the maritime rule most familiar to Vietnamese traders: the seller delivers once the goods are ON BOARD the vessel nominated by the buyer at the loading port, export-cleared. Vietnam's export customs value is set at this same level.
Cost, risk and clearance at a glance
Delivery & risk transfer
Risk passes exactly when the goods are on board at the loading port. Everything before (including the lift) is the seller's; everything after — the sea leg, discharge, delivery inland — is the buyer's.
Cost split
The seller pays up to on-board (inland haulage, origin local charges, export clearance); the buyer pays ocean freight, insurance if bought, and all destination-side costs.
Insurance
Neither party is obliged to insure — whoever bears the transit risk should consider buying cover for that leg.
Watch out for
- Containers should NOT move under FOB: the box sits at the terminal for days before loading — a leg the seller still bears the risk of without controlling the cargo. ICC recommends FCA for containers.
- The buyer books the vessel: the seller should fix a clear vessel-arrival window in the contract to avoid cargo waiting at port for the buyer's ship.
- For sea and inland-waterway transport only.
FOB price → Vietnamese customs value
Importing into Vietnam
- + International freight to the import gate
- + International insurance (if bought)
Exporting from Vietnam
The invoice price already sits at the valuation point — customs value = invoice price.
Compute duty with this term →Legal basis: Circular 39/2015/TT-BTC, amended by 60/2019/TT-BTC.
"Incoterms" is a registered trademark of ICC. This page is the site's own plain-language summary for reference; the authoritative rules are ICC's Incoterms® 2020 publication.