FCA is one of the most useful Incoterms® 2020 rules for China-origin freight because it can match the point where a factory, forwarder, consolidation warehouse or container terminal actually hands cargo to the buyer-nominated carrier.
FCA Incoterms® 2020 in one paragraph
FCA (Free Carrier) can be used with any mode of transport. The seller clears the goods for export where applicable and delivers them to the buyer-nominated carrier or person at the agreed FCA point. The buyer normally arranges the main carriage and handles import clearance. The exact named point matters because it defines the delivery event, risk transfer and origin cost boundary.
Verified FCA rule record
| Field | Verified allocation |
|---|---|
| Rule | FCA — Free Carrier |
| Edition | Incoterms® 2020 |
| Transport mode | Any mode / multimodal |
| Main carriage | Buyer normally arranges |
| Export clearance | Seller |
| Import clearance | Buyer |
| Seller insurance obligation | No mandatory procurement obligation under FCA |
| Delivery / risk point | Agreed FCA point; seller-premises and other-place delivery operate differently |
| Core Fact IDs | INC2020-FCA-MODE-001 · DELIVERY-002 · CARRIAGE-003 · CLEARANCE-004 · INSURANCE-005 |
| Last verified | 10 November 2026 |
This table is a DDP Atlas summary of the standard allocation. The official ICC text and the parties’ precise named place and contract control.
FCA has two different delivery situations
FCA at the seller’s premises
If the named FCA place is the seller’s premises, delivery occurs after the seller loads the goods onto the buyer-arranged transport. This is a material difference from EXW, where loading the collecting vehicle is not a seller obligation under the rule.
FCA at another named place
The named point can instead be a forwarder warehouse, consolidation facility, airport cargo terminal or container terminal. The seller moves the goods to that place and delivery occurs according to FCA’s other-place mechanism. A professional contract should identify the precise point, not simply “FCA Shenzhen”.
Seller vs buyer responsibility under FCA
| Responsibility | Seller | Buyer |
|---|---|---|
| Prepare / package goods | Yes | |
| Deliver at agreed FCA point | Yes | |
| Export clearance where applicable | Yes | |
| Main carriage after FCA delivery | Normally yes | |
| Import clearance | Yes | |
| Import duty / tax | Yes | |
| Mandatory cargo insurance under rule | No | No |
| Risk before FCA delivery | Yes | |
| Risk after FCA delivery | Yes |
Why FCA matters for China container shipments
A container can be collected at a factory, delivered to a depot or terminal and accepted by a carrier before it is actually loaded on board a vessel. ICC guidance states that FOB is not appropriate where goods are handed to the carrier before on-board vessel delivery, for example at a container terminal; the parties should consider FCA in that situation.
DDP Atlas Fact INC2020-FCA-CONTAINER-006: FCA can align more closely with the physical handover for containerized cargo delivered to a carrier or terminal before vessel loading. This does not mean every container shipment must be FCA; it means the contract term should match the real handover.
China exporter example
A U.S. importer buys 12 pallets from a Dongguan supplier and already has a freight forwarder. The contract states FCA Supplier Warehouse, Dongguan, China — Incoterms® 2020. The supplier prepares the cargo, completes applicable export clearance and loads the buyer-arranged pickup vehicle. The buyer’s forwarder then controls consolidation or container movement, main carriage, U.S. customs brokerage and final delivery.
FCA vs EXW and FOB
EXW vs FCA: EXW does not require the seller to load the buyer’s collecting vehicle or clear export. FCA at seller premises places loading and applicable export clearance on the seller.
FCA vs FOB: FCA can be used for any mode and can deliver at a factory, terminal or other named place. FOB is maritime-only and delivers on board the vessel.
See the verified EXW record and FOB record.
Common FCA mistakes
- Writing only “FCA China” without a precise delivery point.
- Assuming FCA means the seller pays the main international freight.
- Comparing FCA quotations from different handover points as if they cover the same origin scope.
- Using FOB automatically for container cargo even when carrier handover occurs before vessel loading.
- Confusing physical custody, contractual risk and control of the freight booking.
How to write FCA in a contract
A professional form is FCA [precise place or address], [city], China — Incoterms® 2020. The sales contract should separately address matters Incoterms do not resolve, including payment, legal title, product compliance and shipment-specific documents.
DDP Atlas verified FCA fact
Fact ID: INC2020-FCA-DELIVERY-002
Public fact: FCA is an Incoterms® 2020 rule usable for any mode of transport. The seller handles export clearance where applicable and delivers at the agreed FCA point; the buyer normally arranges the main carriage and handles import clearance.
Suggested citation: DDP Atlas. “FCA Incoterms® 2020: Free Carrier for China Exports.” Verified against official ICC Incoterms® 2020 sources, 10 November 2026.
What changed
No newer official ICC edition was identified at the 10 November 2026 verification. Future changes should create a new fact revision rather than silently overwrite this record.
Official sources and verification
Primary authority: International Chamber of Commerce (ICC). DDP Atlas paraphrases the rule and does not reproduce the full copyrighted ICC text.
Government cross-checks: U.S. International Trade Administration — Know Your Incoterms and HM Revenue & Customs — Customs valuation: Incoterms.
Verification status: reviewed 10 November 2026. Incoterms® 2020 remains the latest official ICC edition at this verification date.
Part of the Shipping from China hub — see the wider freight planning map.