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LandedCost
Import glossary

EXW (Ex Works)

Quick answer

EXW means the seller only makes the goods available at their premises; the buyer arranges and pays for everything from the factory gate onward.

Last reviewed 16 July 2026.

EXW (Ex Works) places the maximum obligation on the buyer. The seller's only job is to make the goods available, packed, at their own premises — factory, warehouse or works. From that point the buyer arranges collection, export clearance, international freight, insurance, import clearance, duty, VAT and final delivery.

EXW gives you the lowest possible headline price because it strips out every service the supplier would otherwise provide. That can be useful for consolidating multiple suppliers' goods, but it also means you (or your forwarder) must handle export formalities in the origin country — something many buyers underestimate.

In practice, many importers who agree EXW end up relying heavily on a freight forwarder to manage the origin-side logistics and export declaration on their behalf.

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How it affects your landed cost

EXW quotes are the trickiest to compare because so little is included — the price is just the goods at the factory door. Every other cost, from origin haulage to UK duty and VAT, sits on top. To judge whether an EXW price is genuinely cheaper than an FOB or CIF alternative, you have to add all those layers back, which is precisely what the landed-cost calculator does.

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Related terms

See also

EXW (Ex Works)

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