What Does FOB Stand For?
FOB stands for Free On Board Shipping
FOB, or Free On Board Shipping, is a shipping term that indicates the point at which the responsibility for goods transfers from the seller to the buyer. Under FOB terms, the seller is responsible for all costs and risks associated with transporting the goods to a specified location, typically the shipping port. Once the goods are loaded onto the shipping vessel, the buyer assumes responsibility for any additional costs, risks, and insurance. FOB is commonly used in international trade to clarify ownership and liability during transit.
Added on 14th April 2008 | Last edited on 17th June 2025 | Edit Acronym