FCA AND FAS

IN INCOTERMS

Nguyễn Diệu Trang : 2054010774

Trần Hoàng Anh Tuấn : 1954012391
Nguyễn Đình Nam : 2054010419
Nguyễn Đức Tú : 2054012358
 CONTENTS

01 FCA 02 FAS

• Mode of transport • Expenses incurred

• Obligations of the parties • Obligations of the parties

• Advantages and disadvantages • Distinguish group rules F

• Compare FCA Incoterm 2020 and • Compare FCA Incoterm 2020

2010 and 2010
01 FCA
( FREE CARIER)
● Mode of transport

This FCA incoterms 2020 will be used for all modes of

transport and can be used when multiple means of
transport are involved.
• OBLIGATIONS OF THE PARTIES
Seller's obligations:

- Loading goods on board as designated by the buyer

- Carry out procedures, bear all costs related to export clearance and
taxes
- Transfer documents, transport invoices and related goods to the
buyer.
Buyer Obligations:

- Arrange and pay freight and freight charges for the seller.
- Buy cargo insurance.
- Carry out procedures and pay import tax.
- The time of transfer of risk to the seller will end from the time of delivery
to the carrier
• ADVANTAGES AND DISADVANTAGES OF
FCA IN INCOTERM 2020

Advantages Disadvantages
- - The seller has to bear quite a lot of
The exporting party will be able to
raise the selling price of the shipment. additional risks.

- - The buyer will have to buy insurance

Buyers will understand the actual costs
during transportation and loading and for the shipment and assume the risk

unloading of goods after the goods have been successfully

- The responsibility for customs delivered and cleared

- The buyer must provide the seller with
clearance belongs to the exporter
the exact place of delivery.
• Compare FCA Incoterm 2020 and 2010
FCA Incoterm 2010
The buyer must hire a domestic means of
transport to get to the named place in the seller's
country to pick up the goods
FCA Incoterm 2020
- The buyer of the goods shall be obliged to contract
or arrange for the carriage of the goods from the place
specified in the contract at their own expense.
- Divided into 2 separate conditions: FCA overland
and FCA by sea
- On-board bill of lading on delivery with FCA terms
02 FAS (Free Alongside
Ship)
 • EXPENSES INCURRED

Costs to be
borne by
THE SELLER THE BUYER

• Expenses for export procedures •  Cost of import and transit procedures

• The cost of providing the buyer with
information and procedures related to
the delivered goods
• The cost of quality control
• The cost to receive the contract of carriage
• Expenses incurred for the buyer to fulfill his
obligations
• Costs related to the conclusion of the
contract of carriage of goods.
 • OBLIGATIONS OF THE PARTIES

Seller's Obligations

• Export clearance
• Vessels can be chartered under normal conditions if agreed
• Delivery alongside the ship. Transfer of risk at the time of delivery or earlier
• Inform buyers about delivery status, transport security, insurance information,
etc.
• Fulfill transport security requirements until delivery
• Provide regular shipping documents, or help buyers obtain transport documents
 Buyer's main obligations

• Sign the charter contract and pay the freight

• Inform the seller of the time, place of
delivery, vessel and transport security
requirements
• Receive goods and risks from the time the
seller completes the delivery
• Accept proof of delivery provided by seller
• Import clearance
 • DISTINGUISH GROUP RULES F
• FAS and FOB can only be used
when goods are transported by
sea or inland waterway.
• The difference between FAS and
FOB is only the obligation to
load the goods onto the vessel
for carriage.

Table of distinctions of group F rules according to seller's obligations

• Compare FAS (inoterm 2020) with FAS
(incoterm 2010)

In Incoterms 2010 In Incoterms 2020

+ The terms EXW and FAS will be widely + no longer applicable to international shipping services
applied + Certain uses of EXW and FAS would conflict with the

+ the FAS condition in Incoterms 2010 still new EU Customs Code and should be omitted.
+ the FAS term (shipping alongside the ship) will be
has many limitations
replaced by the FCA term
 the FAS term (shipping alongside the
ship) will be replaced by the FCA term