The classifications for LTL shipments are changing – here’s what you need to know
The National Motor Freight Classification system has made some updates on how it classifies less-than-truckload (LTL) shipping. The changes go into effect on July 19th.  If your business or organization uses LTL services to move your product, here’s what you need to know about these new classifications.
Who is the National Motor Freight Traffic Association?
The National Motor Freight Traffic Association (NMFTA) is a nonprofit membership organization and the world’s leading organization representing the interests of LTL carriers. The association’s membership is comprised of motor carriers operating in interstate, intrastate, and foreign commerce. Meaning, their membership may include your LTL vendor. Therefore, their new classifications could impact your services.
The changes you need to be aware of.
Industry experts are expecting the NMFTA’s changes “to streamline classifying LTL Freight.” Its classification system – The National Motor Freight Classification (NMFC) – has been critiqued in the past for being very confusing, and the aim is to simplify it. Its goals are to:
- Simplify the classification using a “standardized approach based on density, handling, stowability, and liability.”
- Enhance user experience, by making the classifications easier to understand.
- Increase efficiency, by making freight classifications more accurate.
This will be accomplished by introducing:
- A standardized density scale for LTL freight with no handling, stowability, and liability issues
- Unique identifiers for freight with special handling, stowability, or liability needs
- Condensed and modernized commodity listings
- Improved usability of the ClassIT classification tool
What does any of this actually mean for shippers?
If you’re not sure what any of this means, that’s okay. Industry jargon can be hard to understand from the outside. But if your business uses LTL for operations, here are the important things to keep in mind. NMFTA says that, for shippers, “identifying your freight class will be easier, but you may need to provide handling unit dimensions and weight.”
Meaning, that in the long run, this should make your life easier, however, if you fail to be proactive about the new classification systems, it may result in misclassified shipments, which could then cause unexpected charges, delays, and disputes. These changes are being implemented July 19th, so theoretically, charges and delays could begin as soon as then if you don’t take the time to review the new classifications and ensure all your shipments are in order. It’s also a good idea to contact your provider and ensure all the classifications and changes are made on their end as well.
If your company uses LTL providers that operate in the United States, NMFTA recommends reviewing all the changes on their bulletin, found here.
In conclusion…
Proactivity is key. If you’re a business that ships products with LTL providers, be aware of the new classification changes, and ensure you’re not accidentally misclassifying your goods come July 19th.
