FAS vs CPT – who pays for what?
FAS is Free Alongside Ship and CPT is Carriage Paid To. We compare who pays for transport, customs clearance and duty, and where risk passes to the buyer.
Key differences
Under CPT, the seller also covers loading for main carriage and the main freight. Under FAS, the buyer pays for this instead. The two rules also differ in the point at which risk passes to the buyer and in the mode of transport. FAS applies only to sea and inland waterway transport.
- Loading for main carriage
- FASBuyerCPTSeller
- Main carriage (freight)
- FASBuyerCPTSeller
- Risk passes
- FASAlongside the ship at the port of loadingCPTOn handover to the carrier in the country of dispatch
- Mode of transport
- FASSea onlyCPTAny
Full cost breakdown
| Cost | FAS | CPT |
|---|---|---|
| Export clearance | Seller | Seller |
| Transport to the port or terminal | Seller | Seller |
| Loading for main carriage | Buyer | Seller |
| Main carriage (freight) | Buyer | Seller |
| Insurance | No obligation | No obligation |
| Unloading at destination | Buyer | Buyer |
| Import clearance | Buyer | Buyer |
| Import duty and VAT | Buyer | Buyer |
| Risk passes | At the port of loading, when the goods are placed alongside the ship (e.g. on the quay). | When the seller hands the goods over to the first carrier – even though the seller pays for transport to the place of destination. |
| Mode of transport | Sea and inland waterway transport only | Any mode of transport (sea, rail, air, road) |
Notes
- Unloading at destination: if unloading costs are included in the contract of carriage concluded by the seller, the seller pays them and cannot charge them to the buyer afterwards.
What to watch for when importing from China
FAS Free Alongside Ship
FAS is hardly ever used for containers, because a container is handed over at the terminal several days before loading. It makes sense for bulk and oversized cargo – for containers, FCA is the better choice.
CPT Carriage Paid To
The supplier pays for transport to the place of destination, but the risk passes to you when the goods are handed over to the first carrier in China. If the goods are lost or damaged in transit, it is you who has to pursue the claim – so it is worth insuring them.
When to use FAS and when to use CPT?
- FAS – for bulk and oversized cargo in sea freight, when the buyer arranges loading on board.
- CPT – for any mode of transport (including rail and air), when the supplier arranges carriage to Poland, while you insure the goods and handle customs clearance.
Buying on FAS terms? You choose the forwarder
We organise transport from China – by rail, sea or air – together with customs clearance in Poland and cargo insurance. Send us your cargo details and we will prepare a quote tailored to your shipment.
Request a quoteFAQ
What is the main difference between FAS and CPT?
Under CPT, the seller also covers loading for main carriage and the main freight. Under FAS, the buyer pays for this instead. The two rules also differ in the point at which risk passes to the buyer and in the mode of transport. FAS applies only to sea and inland waterway transport.
Where does risk pass to the buyer under FAS?
At the port of loading, when the goods are placed alongside the ship (e.g. on the quay).
Where does risk pass to the buyer under CPT?
When the seller hands the goods over to the first carrier – even though the seller pays for transport to the place of destination.
Can FAS and CPT be used for rail freight from China?
Only CPT. CPT works with any mode of transport, while FAS applies only to sea and inland waterway transport. That is why FAS is not used for rail freight from China.
Compare other pairs
Incoterms® is a registered trademark of the International Chamber of Commerce (ICC). This page is an independent, simplified summary of how costs and risks are divided – it is not affiliated with or approved by the ICC. When drafting contracts, use the official text of the Incoterms® 2020 rules published by the ICC.