Web Reference: Dec 23, 2025 · Free on board (FOB) is a shipment term that defines the point in the supply chain when a buyer or seller becomes liable for the goods transported. Purchase orders between buyers and sellers set... Jul 1, 2024 · FOB stands for “free on board” or “freight on board” and is a designation that is used to indicate when liability and ownership of goods is transferred from a seller to a buyer. Mar 16, 2026 · What Does FOB Mean in Freight Shipping? FOB stands for Free On Board (also called Freight On Board), one of the 11 Incoterms defined by the International Chamber of Commerce (ICC) in the 2020 revision.
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