Incoterms or International Commercial Terms define the terms and conditions for any trade. It is published by the International Chamber of Commerce and explains the total trade transportation costs from end-to-end services.
EXW or Ex Works is a subcategory of incoterm. It is an international trade term that facilitates shipping and transportation arrangements for goods or cargo. It has the smallest scope of handling the transportation costs. Ex Works divides the responsibility of shipping goods from one place to another between the exporter (seller) and importer (buyer).
How Does EXW – Ex Works Operate?
In simple terms, the seller produces a good as per the buyer’s requirements. The seller and the buyer reach a basic agreement to choose a predetermined place known as Ex Works to start the transportation of the product. The seller then hands over the goods to the Ex Works (predetermined location) and ends the seller’s responsibility partially.
Ex Works now transports the goods to the location of the buyer, where the entire responsibility and risk of shipping these goods will be taken up by the buyer. During this process of transportation of goods from one place to another, the seller provides the required support to the buyer for obtaining approval from agencies, but the costs or payments must be entirely handled by the buyer.
With the help of Ex Works, the seller need not pay for any sort of shipping and is not liable for other risks. During this shipment process, the buyer is liable to any damages to the goods or cargo and must pay up if necessary. One of the main reasons for using EX Works, apart from the transportation of goods, is to cut down shipping costs.
Why Choose ECU360 for Ex Works?
ECU360, a personal logistics control tower, is one such company offering Ex Works services. The number 360 in ECU360 stands for ‘worldwide’, which implies that they offer worldwide shipping and transportation for the goods. This online platform is feasible for any type of transportation and for any type of good. ECU360 is the most favored online platform by companies for transporting and shipping their goods all over the world.
How Does ECU360 Help Buyers and Sellers?
ECU360 offers several benefits to both sellers and buyers throughout the whole shipping and transportation process. Here is how the process works:
The seller produces or manufactures a particular product as per the requirements of the buyer. The seller and buyer can now come to an agreement to select ECU360 as a predetermined location (Ex Works) upon the agreement of both parties.
ECU360 can be selected as Ex Works by booking it through its online portal. After opting for ECU360, the seller delivers the manufactured product at the location. ECU360 now transports this product to the buyer through various modes of transportation. ECU360, in this process, provides all the required data, the status of the product and facilitates tracking of the product through its website to the seller and the buyer.
The buyer here takes the entire responsibility of transportation costs and the risks that are involved (like transporting the goods to ships, loading them onto the trucks or vehicles, handling the customs regulations and the ministry in authority, and so on), right from the time when the goods are handed over to ECU360 by the seller.
ECU360 helps the buyer give shipping instructions. The seller provides support to ECU360 by obtaining access at the different levels of the shipping process. After the shipment process, the cargo is then handed over to the buyer.
ECU360 has truly transformed the face of the global logistics industry with its exceptional features and outstanding services.