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FASSea and inland waterway

Free Alongside Ship

The seller delivers the goods alongside the vessel at the named port of shipment. From there the buyer takes over. Sea and inland waterway only.

When to use it

FAS suits bulk or break-bulk cargo loaded directly alongside the vessel, common in commodities and raw materials trade. It is a sea-only rule and rarely fits containerised cargo, where the container reaches the terminal before the vessel is even alongside.

The common mistake

Using FAS for containerised cargo. Containers are typically delivered to a terminal well before loading, not placed directly alongside the ship, so FCA is almost always the correct rule for container shipments even when FAS is the historical habit.

Risk transfers

after Origin terminal charges, from seller to buyer.

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Incoterms is a registered trademark of the International Chamber of Commerce (ICC). This is an educational summary, not the official rules. For the binding text, see the ICC Incoterms 2020 publication.

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FAS (Free Alongside Ship) Incoterms 2020 Explained, Fernable