What is Freight Class in Trucking?

Almost like solving a very intricate puzzle, moving freight around the world can be complex. If you are shipping goods in the US using Less Than Truckload (LTL) shipping, then you must have come across the term “freight class.” Knowing what is freight class helps you obtain estimates, prevent additional charges, and make certain that processes are carried out smoothly. This article seeks to explain everything from the most forward beginner to the veteran when it comes to freight shipping classification.

In the previous article, where we compared LTL and FTL shipping, we mentioned that LTL entails sharing a trailer with other shippers. Because different items share the same truck, LTL carriers needed some method of categorizing the many diverse items being shipped together in order to set a fair price. We at HMD Trucking, while specializing in dependable Dry Van and Flatbed services that are commonly used for Full Truckload (FTL) shipments (which typically do not need freight class), strongly feel that shippers should be educated across the board, and understanding freight class meaning is imperative if you use LTL.

What is Freight Class?

Now, you may ask, what is freight class? It's basically a standardized pricing classification system used in the trucking industry, set up by the National Motor Freight Traffic Association (NMFTA). It creates common ground for brokers, carriers, and warehouses dealing with LTL shipments moving across state lines or even internationally. The whole system is formally known as the National Motor Freight Classification (NMFC).

Let us try to imagine this in another way. An LTL trailer can include pallets of bricks, boxes of electronics, and even fragile furniture. Everything requires a different amount of space, weighs differently, requires different handling, and has different liability risks associated with it. The NMFC System provides a standard way to group these kinds of commodities based on their overall ‘transportability.’ This helps make pricing fair based on the shipping resources needed for each item. There are 18 distinct freight classes. Class 50 is the least expensive to ship, and Class 500 is the most expensive. Getting the right class for LTL shipments is really key.

So, how is a specific freight class decided? It comes down to looking at the general “transportability” of your freight based on these four main things:

1. Density: This is frequently the primary factor. Density describes the proportion of space your item occupies to its weight (pounds per cubic foot). Usually, the greater the density of your shipment (higher weight relative to space), the lower the freight class. Conversely, bulky yet lightweight shipments will have a higher class. For instance, steel parts might fall under Class 50 or 55, while ping pong balls would be Class 500.
2. Stowability: How difficult would it be to load your freight onto other items being transported by the same vehicle? Some items have characteristics that make them difficult to stow – they might be excessively long or heavy, hazardous (needs to be separated), or cannot have other freight placed on top. Items that are difficult to stow are usually assigned a higher freight class.
3. Handling: How difficult is it to load, unload, and move the freight around? Most cargo gets moved with forklifts without much trouble. But things that are very fragile, hazardous, weirdly shaped, or super heavy might need special care or equipment. Freight needing extra effort usually lands in a higher class.
4. Liability: This considers the risk involved. Is the item likely to be stolen? Is it easily damaged? Could it damage other freight near it? Perishable goods, things that could catch fire, or really valuable items carry higher liability and often get a higher freight class number.

While these four are the main things for determining freight class, sometimes other factors like market conditions or specific carrier rules might play a part too.

How to Calculate Freight Class?

Alright, so as far as freight shipping classification is concerned, the big elephant in the room is density. Because it is so important, let’s go over how you determine the density of your shipment. Do not fret; it only requires a bit of measuring and calculation. Here’s the process you should follow.

1. Measure Your Shipment: Measure each piece’s depth, length, and width after packing it on a pallet or placing it within a crate/box. Ensure you check for any disorganization prior to wrapping the parcel to save yourself from this effort later. Round up any fractions of inches to the next round inch.
2. Calculate The Volume In Cubic Inches: For every piece you measured, calculate the volume by multiplying its length, width, and height (L x W x H). Got more than one piece shipping together? No problem. Take individual measurements and combine each parcel, beginning with the length followed by the width and height.
3. Transforming from Cubic Inches to Feet: Now for the final step, your shipment’s total volume in feet can be measured by utilizing the division of the total volume of the shipment in inches by 1728 since there are 1728 cubic inches in a cubic foot.
   • Quick Formula Look: (Total Cubic Inches from Step 2) / 1728 = Total Cubic Feet
4. Weigh the Whole Thing: Time to weigh it. Get the weight of the entire shipment. This includes all pieces, pallets, and any other packing materials. Make sure the scale used is of good quality. Also, if there are multiple parts, remember to add their weights to this total.
5. Calculate Density: To achieve the total density in PCF, divide the weight obtained in Step 4 by the total cubic feet from Step 3. The answer will be total density in pounds per cubic foot (PCF).
   • Quick Formula Look: Total Weight (lbs) / Total Volume (cubic feet) = Density (PCF)

Example calculation for determining freight class. Let's say you have a pallet of goods:

Now you can use this density number (10.8 PCF in this case) and check it against a freight classification chart to help figure out the likely freight class.

Freight Classification Chart

Below is a simplified chart showing the typical relationship between density and freight class. Just remember, things like stowability, handling, and liability can still affect the final class given by the NMFTA or the carrier. Density is usually just the main starting point.

Note: This freight classification chart shows the typical relationship between density and freight class. Keep in mind that stowability, handling, liability, and other factors can change the final class designated by the NMFTA or the carrier. As mentioned earlier, density serves as the main reference point.

What Your Business Should Know About Correct Classification?

Knowing the correct class of freight on your bill of lading (BOL) is not a mere straightforward exercise. It is just like giving out an order, and listing it up might seem simple at the outset, but in real business, it has a lot of impacts ranging from how much you will pay to your service provider as well as the efficiency with which things are done. Here are some reasons that highlight the significance of precision:

• Accuracy in Quotes: The freight class heavily influences the rate you're quoted. A wrong class means a wrong quote.
• Avoiding Re-Class Fees: If a carrier inspects your shipment and finds the class on the BOL is wrong, they'll re-classify it. This nearly always means extra charges (re-class fees), often slapped on at a higher, non-discounted rate, which can blow up your final bill.
• Preventing Delays: The whole re-classification process takes extra time and can delay your shipment.
• Carrier Relationships: Constantly giving carriers incorrect info about your shipments can make things awkward and strain your working relationship.

Always remember to fully enclose the shipment and perform the weighing and measuring processes first to eliminate alterations. Math should be checked and calculated, not used, since the right partner uses it to figure out if it yields logic.

Freight Classification Changes on the Horizon

Heads up – the NMFTA is working on some pretty big changes to the freight classification system, planned to start rolling out around 2025 (Docket 2025-1, likely taking effect mid-year after review). The key intent revolves around easing complexities and reducing disputes by shifting towards a more density-centric approach.

What to watch for:

• More Focus on Density: Many products with similar shipping traits will be grouped together, with density being the main way they're classified.
• Streamlining: The goal is to make the process less fuzzy and more objective, so it's clearer how items get classified.
• Exceptions Will Still Exist: Even though density will be king, other factors (stowability, handling, liability) will still matter for items where density alone doesn’t tell the whole story.
• Impact on Shippers: You might see changes in how your usual freight gets classified and priced. You'll need to look closely at your products and pricing agreements under the new system. Getting those dimensions and weights exact will be more critical than ever.

These changes aim to make the system more modern, efficient, and fair. Keeping an eye on these updates will be important for anyone shipping LTL.

Avoiding Mistakes In Freight Class Shipping

If you get the freight class incorrect, the consequence could lead to it being very costly. These alterations can involve disputes over billing, change freight transportation collections, and, in some instances, delay the shipment. Here are some methods to ensure a mistake does not happen:

• Packages should always be weighed and measured accurately.
• Precise notes must be written down on the BOL of every shipment.
• Communicate with your 3PL account or the carrier.
• Ensure packing is as compact as possible.

If you follow the recommendations as listed above, you will be able to minimize the additional costs of shipment while making it more efficient and straightforward.

Work with Experienced Professionals

Understanding freight class is a really important piece of the shipping puzzle, especially with LTL. It might look complicated at first, but taking the time to figure out the right class for your freight – based mainly on density, stowability, handling, and liability – can save you real time, money, and headaches down the road. And remembering that big shift towards density-based classes just highlights how crucial accurate measurements are becoming.

Here at HMD Trucking, we've built our reputation on being reliable and handling all sorts of freight with our Dry Vans and Flatbeds. While freight class is mostly an LTL thing, knowing the whole shipping picture helps us serve you better. So if you are interested in understanding more about the transport of your goods or need a dependable partner for FTL shipments, whether with a Dry Van or Flatbed, HMD Trucking is just a phone call away. As always, we are ready to guide you through the road ahead.