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Incoterm FAS: Definition and Examples

Incoterm FAS: FAS – Free Alongside Ship – means delivery occurs when goods are placed alongside the vessel at the named port of shipment.

What is Incoterm FAS?

FAS – Free Alongside Ship – means delivery occurs when goods are placed alongside the vessel at the named port of shipment.

Incoterms® 2020 allocate delivery costs, risks and selected customs responsibilities between seller and buyer. They do not determine ownership or payment and must be used with a precisely named place.

AspectWhat to know
Core meaningSea and inland waterway only
Operational useDelivery alongside vessel
Control pointSeller clears export
Key cautionName port and quay

How does it work in practice?

It suits non-containerised sea or inland-waterway cargo; the buyer arranges loading aboard and main carriage.

The rule, named place and edition are recorded in the sales contract, order confirmation and invoice. The transport booking, insurance and customs instructions are then aligned with that allocation.

Decisions, exceptions and reference numbers should be recorded in the transport order or relevant system. This creates a clear audit trail of the information available and the actions taken by each party.

Key points to check

  • Sea and inland waterway only
  • Delivery alongside vessel
  • Seller clears export
  • Name port and quay

Always check current contract terms and official guidance as the correct application may vary by vehicle, goods, route, port, customer role or selected customs procedure.

Why does it matter for urgent transport?

For urgent shipments, the Incoterm identifies who arranges carriage and formalities, but it does not replace practical instructions such as addresses, contacts, time windows and document references.

Good preparation prevents a fast vehicle movement from being delayed by missing documents, unsuitable equipment, incorrect classification or denied access at the collection, border or delivery point.

Frequently asked questions

What is Incoterm FAS used for?

FAS – Free Alongside Ship – means delivery occurs when goods are placed alongside the vessel at the named port of shipment. It suits non-containerised sea or inland-waterway cargo; the buyer arranges loading aboard and main carriage.

Is Incoterm FAS mandatory?

It applies only when incorporated into the contract, preferably in the format '[rule] [named place], Incoterms® 2020'.

What should be checked before transport?

Confirm the parties, goods, documents, reference validity and requirements along the actual route. Where the rule is regulatory, use the latest guidance from the competent UK authority.

Sources: ICC – Incoterms® rules and GOV.UK – International trade contracts and Incoterms. Editorial review: 13 August 2026.

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