FASFree Alongside Ship

FAS (Free Alongside Ship) means the seller clears the goods for export and places them alongside the buyer's nominated vessel at the named port of shipment; risk passes there, and the buyer pays for loading and the sea voyage. It is for sea and inland waterway only.

Summarised from the Incoterms® 2020 rules. Not legal advice.Updated 6 October 2026

Where FAS hands over

The orange marker is where risk passes to the buyer. Blue bars are the seller's, yellow the buyer's.

FAS at a glance

Transport: Sea and waterwayNot for containers handed over at a terminal
Risk passes: Alongside ship
Main carriage: Buyer paysand nominates the carrier
Insurance: No obligationthe party at risk usually insures
Delivery point: Alongside the vessel nominated by the buyer (on the quay or a barge) at the named port of shipment.

FAS responsibilities
Job	Who
Export clearance	Seller
Loading at origin	Buyer (on board)
Main carriage	Buyer
Insurance	No obligation
Unloading at destination	Buyer
Import clearance and duties	Buyer

When to use FAS

Use FAS when

Bulk or break-bulk cargo such as grain, logs or heavy machinery
Goods delivered to the quay beside the buyer's ship
The buyer arranges loading and the voyage

Avoid FAS when

Containerised cargo (use FCA)
You cannot reach the quay or ship's side
Air, road or rail transport

Common FAS mistakes

Containers

FAS suits bulk and break-bulk cargo such as grain, logs or heavy machinery. Containers are handed over at a terminal, so FCA fits better.

Loading costs

Loading onto the ship is the buyer's cost and risk; port practice can differ, so state who pays terminal handling.

Vessel nomination

The seller cannot deliver until the buyer names the ship and the loading date in time.

FAS beside its neighbours

FOB moves the delivery point one step further: the seller also loads the goods on board. Read about FOB.

FCAFree CarrierRisk passes: handed to carrier FASFree Alongside ShipRisk passes: alongside ship FOBFree On BoardRisk passes: on board vessel

All eleven rules

E rulesDeparture

EXWEx WorksAny mode of transport

F rulesMain carriage unpaid

FCAFree CarrierAny mode of transport FASFree Alongside ShipSea and inland waterway FOBFree On BoardSea and inland waterway

C rulesMain carriage paid

CFRCost and FreightSea and inland waterway CIFCost, Insurance and FreightSea and inland waterway CPTCarriage Paid ToAny mode of transport CIPCarriage and Insurance Paid ToAny mode of transport

D rulesArrival

DAPDelivered at PlaceAny mode of transport DPUDelivered at Place UnloadedAny mode of transport DDPDelivered Duty PaidAny mode of transport

Incoterms® is a registered trademark of the International Chamber of Commerce (ICC). CartonMath is not affiliated with or endorsed by the ICC. This is a plain-language summary; the full rules are published by the ICC and the contract wording governs.

Common questions

What does FAS mean?

When does risk pass under FAS?

Alongside the vessel nominated by the buyer (on the quay or a barge) at the named port of shipment.

Who pays the main freight under FAS?

The buyer arranges and pays the main carriage.

Who pays import duties under FAS?

The buyer clears the goods for import and pays any duties and taxes under FAS.

Can FAS be used for container shipments?

FAS is a sea and inland waterway rule. For containers, the ICC recommends FCA instead, because containers are handed over at a terminal before loading.