What Does FOB Stand For?
FOB stands for Freight On Board
FOB, or Freight On Board, is a shipping term that indicates when the ownership and responsibility for goods transfer from the seller to the buyer. In FOB agreements, the seller is responsible for transportation costs and risks until the goods are loaded onto the shipping vessel at a designated location. Once aboard, the buyer assumes responsibility for the goods during transit. FOB terms help clarify shipping responsibilities and costs in international trade and logistics.
Added on 14th April 2008 | Last edited on 17th June 2025 | Edit Acronym