January 9, 2018
The transportation industry is responding to reduced capacity in two ways, both of which are increasing costs, especially to LTL – or less than truckload – shippers like many NAFEM members:
- Stepped up auditing and reclassification of current shipments, usually at higher rates, and
- Reclassification of many commodity categories, resulting in higher rates for future shipments.
Given the transportation industry’s increased emphasis on auditing, members should carefully review and label their shipments with proper, complete descriptions. Also, because current regulations state that any shipment can be reclassified as a density item (and more costly to ship) where freight on a pallet does not occupy at least 65 percent of the surface area of the pallet, members should make sure they comply with this requirement.