Shippers: How To Prepare For Upcoming Changes To LTL Freight Class

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LTL Freight Class is changing on December 19, 2020

On October 6, 2020, the National Motor Freight Traffic Association (NMFTA) announced changes to the National Motor Freight Classification (NMFC), which go into effect on December 19, 2020. These changes impact items across product groups ranging from electrical equipment and machinery to building materials and clothing. For Less-Than-Truckload (LTL) shippers, understanding LTL freight class and staying up to date with changes is key to avoiding costly freight misclassification mistakes.

To help shippers navigate LTL freight class changes, our team of shipping experts created a free downloadable Master Guide for Calculating Freight Class. In this guide, shippers learn the role freight class plays in LTL shipping, the 18 different freight class types, and how to utilize density-based classification.

Changes To LTL Freight Class Effective December 19, 2020

NMFTA’s amendments to the NMFC freight class impact 84 items across multiple product groups. For a full list of changes, please consult The Notice of Disposition from the Commodity Classification Standards Board (CCSB).
Below are examples of changes made to freight classification by product group.

Electrical Equipment Group:

  • Item 61700, electrical appliances or instruments, not otherwise indicated (NOI) in boxes or crates now have an 11-tiered class/density breakdown:
Item Density Group Class
Sub 1 Less than 1 lbs. per cubic foot 400
Sub 2 1 lbs. per cubic foot but less than 2 lbs. per cubic foot 300
Sub 3 2 lbs. per cubic foot but less than 4 lbs. per cubic foot 250
Sub 4 4 lbs. per cubic foot but less than 6 lbs. per cubic foot 175
Sub 5 6 lbs. per cubic foot but less than 8 lbs. per cubic foot 125
Sub 6 8 lbs. per cubic foot but less than 10 lbs. per cubic foot 100
Sub 7 10 lbs. per cubic foot but less than 12 lbs. per cubic foot 92.5
Sub 8 12 lbs. per cubic foot but less than 15 lbs. per cubic foot 85
Sub 9 15 lbs. per cubic foot but less than 22.5 lbs. per cubic foot 70
Sub 10 22.5 lbs. per cubic foot but less than 30 lbs. per cubic foot 65
Sub 11 30 lbs. per cubic foot or greater 60

Machinery or Machines Group:

  • Item 123310, cooling or freezing machines, NOI, and item 123315 used cooling or freezing machines having value only for reconditioning, are canceled. These items are now part of item 12650, unit coolers, commercial or industrial, and classes are predicated on greatest dimension and density.

Paper Articles Group:

  • Item 154360, sealing or masking tape in boxes is amended to provide classes based on density, with a break of 15 per cubic foot (PCF):
Item Density Group Class
Sub 1 Less than 15 lbs. per cubic foot 92.5
Sub 2 15 lbs. per cubic foot or greater but less than 2 lbs. per cubic foot 70

Games Or Toys Group:

  • Item 84260, toy or model railroad equipment in boxes or packages now has a new 11-tiered class/density breakdown:
Item Density Group Class
Sub 1 Less than 1 lbs. per cubic foot 400
Sub 2 1 lbs. per cubic foot but less than 2 lbs. per cubic foot 300
Sub 3 2 lbs. per cubic foot but less than 4 lbs. per cubic foot 250
Sub 4 4 lbs. per cubic foot but less than 6 lbs. per cubic foot 175
Sub 5 6 lbs. per cubic foot but less than 8 lbs. per cubic foot 125
Sub 6 8 lbs. per cubic foot but less than 10 lbs. per cubic foot 100
Sub 7 10 lbs. per cubic foot but less than 12 lbs. per cubic foot 92.5
Sub 8 12 lbs. per cubic foot but less than 15 lbs. per cubic foot 85
Sub 9 15 lbs. per cubic foot but less than 22.5 lbs. per cubic foot 70
Sub 10 22.5 lbs. per cubic foot but less than 30 lbs. per cubic foot 65
Sub 11 30 lbs. per cubic foot or greater 60

 

Three Tips For Avoiding Costly Misclassification Mistakes

For shippers who want to maintain margins and ensure on-time delivery, it’s essential to select the appropriate freight class, which can be difficult for busy shippers who do not have time to study the NMFC. Shippers who are looking to avoid costly misclassification mistakes should:

Utilize A TMS:

when you use a TMS to manage your freight, such as the GlobalTranz TMS, you can avoid costly errors by efficiently storing your common freight classes. Additionally, a TMS can help improve your overall LTL shipping experience and drive operational efficiency.

Audit Your Freight Bills:

Auditing your freight bills is a surefire way to ensure your freight is classified correctly. If you do not have the time or personnel available to audit your freight bills, consider partnering with a 3PL who can audit your freight bills for you.

Partner With A 3PL:

Shippers don’t have to tackle the freight classification process on their own. Partnering with a 3PL can alleviate the stress of freight classification. Our team of LTL shipping experts have mastered the nuances of freight class and will assign your freight the appropriate freight class while avoiding costly misclassification.

While changes to the NMFC code are inevitable, shippers can avoid costly misclassification errors by staying informed, utilizing a TMS, continuously auditing their freight bills, and partnering with a 3PL. Additionally, consulting resources, like GlobalTranz’s blog How to Calculate Freight Class and our free downloadable Master Guide for Calculating Freight Class, can provide you with the insights needed to calculate freight class confidently.

Please contact us and put our expertise to work for you.

Download GlobalTranz's guide to LTL Freight Class

The post Shippers: How To Prepare For Upcoming Changes To LTL Freight Class appeared first on GlobalTranz.

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