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Understanding the key players in the logistics and trucking industry is essential for effective communication and collaboration. Below are the primary stakeholders involved in the freight shipping process:
A transportation company that owns and operates its own fleet of trucks. Asset carriers are responsible for the physical movement of goods from origin to destination.
The entity responsible for transporting a shipment from its starting point to its destination. Carriers can be asset-based or non-asset-based, depending on whether they own their equipment.
An intermediary that connects shippers with carriers. Freight brokers leverage their network of relationships to secure capacity, negotiate rates, and ensure the smooth transit of freight.
The party or business receiving the shipment at its destination. In some cases, the shipper and receiver may be the same entity.
The party or business whose goods are being transported. Shippers are responsible for preparing and tendering freight for shipment.
Accessorial charges are additional fees applied to freight shipments for services beyond standard pickup and delivery. These charges cover various scenarios that may arise during transit. Below is a breakdown of common accessorial charges:
A fee assessed when a third party is instructed to withhold sensitive information about the shipper or receiver from the other party. Typically ranges from 100−200.
A charge applied when a driver is delayed beyond the allotted time for loading or unloading. The first two hours are usually free, with charges ranging from 50−75 per hour thereafter.
A fee applied when a driver is required to assist with offloading cargo. Typically ranges from 100−150.
A surcharge for transporting hazardous materials, ranging from 150−500 depending on the material class and route.
A fee applied when a driver must pick up or deliver freight outside the specified loading zone, commonly used for LTL shipments. Typically ranges from100−600.
A flat-rate charge applied when a shipper is not ready to load or unload upon the carrier’s arrival, often extending beyond one day. Typically ranges from 250−500, depending on equipment type.
A charge for third-party unloading services, separate from the carrier’s quoted rate. Typically ranges from 50−500+, depending on the complexity of the task.
A fee applied when the consignee requests advance notification of the freight’s arrival. Typically $50.
A fee to cover permits and additional costs for shipping cargo that exceeds legal size limits. Costs vary based on the shipment’s dimensions and route.
A charge applied when the destination of a shipment is changed after it is already in transit. Costs vary depending on the circumstances.
A fee applied for each additional stop required to fulfill a shipment’s delivery requirements. Typically ranges from 75−100 per stop.
A charge for shipping 1,000 gallons or more of liquid in a dry van. Typically ranges from 100−1,000, depending on the route.
A fee for using a tarp to protect goods on an open-deck trailer. Typically ranges from 100−150.
A charge applied when a shipper orders a truck but does not use it. Typically ranges from 200−600.
Understanding the terminology used in trucking operations is essential for effective communication and safety. Below are key terms every logistics professional should know:
A fee assessed when a third party is instructed to withhold sensitive information about the shipper or receiver from the other party. Typically ranges from 100−200.
A charge applied when a driver is delayed beyond the allotted time for loading or unloading. The first two hours are usually free, with charges ranging from 50−75 per hour thereafter.
A fee applied when a driver is required to assist with offloading cargo. Typically ranges from 100−150.
A surcharge for transporting hazardous materials, ranging from 150−500 depending on the material class and route.
A fee applied when a driver must pick up or deliver freight outside the specified loading zone, commonly used for LTL shipments. Typically ranges from100−600.
A flat-rate charge applied when a shipper is not ready to load or unload upon the carrier’s arrival, often extending beyond one day. Typically ranges from 250−500, depending on equipment type.
A charge for third-party unloading services, separate from the carrier’s quoted rate. Typically ranges from 50−500+, depending on the complexity of the task.
A fee applied when the consignee requests advance notification of the freight’s arrival. Typically $50.
A fee to cover permits and additional costs for shipping cargo that exceeds legal size limits. Costs vary based on the shipment’s dimensions and route.
A charge applied when the destination of a shipment is changed after it is already in transit. Costs vary depending on the circumstances.
A fee applied for each additional stop required to fulfill a shipment’s delivery requirements. Typically ranges from 75−100 per stop.
A charge for shipping 1,000 gallons or more of liquid in a dry van. Typically ranges from 100−1,000, depending on the route.
A fee for using a tarp to protect goods on an open-deck trailer. Typically ranges from 100−150.
A charge applied when a shipper orders a truck but does not use it. Typically ranges from 200−600.
The truck or semi used to pull a trailer, commonly referred to as the “power unit.”
Warning signs placed on all four sides of a trailer carrying hazardous materials, indicating the type of hazard.
Understanding cost-related terms is crucial for managing expenses and optimizing logistics operations. Below are key terms and their definitions:
The cost of a shipment calculated per mile, often used in conjunction with Rate Per Mile (RPM).
Agreed-upon rates between a shipper and carrier for a specific lane over a set period.
An additional fee based on the U.S. National Average Fuel Index, designed to offset fluctuating fuel costs.
The pricing of a shipment on a per-mile basis, commonly used in freight negotiations.
Pricing for freight based on current market conditions, typically used for non-contract shipments.
The Length of Haul (LOH) refers to the distance a shipment travels, typically measured in miles. LOH is a critical factor in determining pricing, capacity, and logistics planning. Below are the common categories of haul lengths:
Shipments traveling 249 miles or less. Ideal for regional deliveries.
Shipments traveling between 250 and 400 miles. Often used for medium-distance freight.
Shipments traveling between 401 and 800 miles. A mid-range distance that bridges short-haul and long-haul.
Shipments traveling between 801 and 1,200 miles. Typically involves cross-country or interstate transport.
Shipments traveling over 1,200 miles. Often used for cross-continental or international freight.
The trucking industry relies on a variety of specialized trailers and equipment to transport different types of freight. Below is an overview of the most common equipment types:
A specialized trailer designed to transport ocean containers over the road. Commonly used in rail yards and shipping ports.
An open-deck trailer featuring a retractable tarping system. Combines the protection of a dry van with the loading flexibility of an open deck.
A fully enclosed trailer, typically 53 feet in length, used to transport consumer goods and commodities. Ideal for protecting cargo from the elements.
An open-deck trailer with elevated front and rear sections and a lower middle well. Often used to transport tall or oversized loads while staying within legal height limits.
An open-deck trailer with an upper deck and a lower rear section, providing additional height clearance for taller loads. Offers up to 19 inches of extra loading height compared to flatbeds.
A specialized drop-deck trailer with an extendable middle section, designed to haul longer or taller freight.
A trailer with a removable gooseneck that can be extended to accommodate large construction or agricultural equipment. Provides extra height and length capacity.
A traditional open-deck trailer with no sides or roof, offering continuous loading space. Typically ranges from 48 to 53 feet in length.
A smaller trailer towed by a Class 3-6 pickup truck. Ideal for lighter loads and time-sensitive deliveries, but with limited weight capacity.
A short trailer with a sliding fifth wheel and kingpin, used to connect the main trailer to the tractor. Often used in
A step-deck trailer with a lower profile than traditional models, providing up to 6 inches of additional height clearance.
Similar to a double drop/lowboy but with a lower profile. Used to transport exceptionally tall loads while meeting legal height restrictions.
A temperature-controlled trailer used to transport refrigerated or frozen goods. Ensures cargo remains at the required temperature during transit.
A trailer with a detachable gooseneck, creating a ramp for loading and unloading large machinery.
A 1-3 axle unit attached behind the main trailer to assist in transporting heavy loads. Also known as a “tail-wagger.”
The logistics and trucking industry is filled with specialized terms and phrases that are essential for effective communication and operations. Below are some of the most commonly used terms:
A return load that allows a carrier to transport freight back to their original location, reducing empty miles and optimizing efficiency.
A shipment where the shipper or receiver’s identity is withheld from the other party, often for confidentiality or competitive reasons.
A legally binding document that serves as a receipt for freight services, detailing the shipment’s contents, origin, destination, and terms. It is critical for invoicing and tracking.
Operating a truck without a trailer attached, often occurring when a driver is returning to their base after a delivery.
A transportation company that offers services to the general public, rather than being dedicated to a single customer.
A carrier that operates under a written agreement to provide transportation services for specific customers.
Driving an empty trailer, often after delivering a load, which can result in inefficiencies and increased costs.
A truck reserved exclusively for a single customer’s freight, ensuring consistent service and capacity.
A service where a driver leaves a trailer at a facility for loading or unloading at the customer’s convenience.
The U.S. government agency responsible for regulating the trucking industry, ensuring safety and compliance.
A priority system where trucks are loaded or unloaded in the order they arrive at a facility.
A clause in shipping contracts that relieves parties of liability in the event of unforeseen disruptions, such as natural disasters or extreme weather.
A company that arranges the shipment of goods on behalf of shippers, often handling international logistics.
The maximum allowable weight of a fully loaded truck and trailer combination, including cargo, and fuel.
The maximum weight a vehicle is designed to safely carry, including its own weight and cargo.
Freight that exceeds standard legal limits for weight, height, length, or width, requiring specialized equipment.
Regulations that limit the number of hours a driver can operate a commercial vehicle, ensuring safety and preventing fatigue.
The use of multiple transportation modes (e.g., rail, ship, and truck) to move freight, often improving efficiency and reducing costs.
The time between when a shipment is requested and when it is scheduled for pickup, often tied to the urgency of the delivery.
A shipping method for freight that does not require the full capacity of a truck, allowing multiple shippers to share space.
A formal offer from a shipper to a carrier, detailing the shipment’s requirements, including scheduling, equipment, and special instructions.
Freight that exceeds standard legal size limits, requiring special permits and equipment for transport.
Refers to long-haul trucking operations, where drivers transport freight over extended distances and periods.
Vehicles that accompany oversized or heavy-haul shipments, providing warnings and ensuring safe passage.
A service where a carrier provides a truck and driver but does not supply the trailer, often used for specialized equipment.
The process of replacing a truck that has broken down with a new one to continue transporting a load.
A specific route regularly used by carriers to transport freight between two points.
Two drivers who work in shifts to transport freight over long distances, reducing delivery times and improving efficiency.