Navigating and understanding National Motor Freight Classification changes is important for shippers and carriers. Starting in July of 2025, key updates will take effect that could potentially impact LTL shipping rates.
Let’s dig into what the National Motor Freight Classification (NMFC) is, the changes that are coming, their impact, and what you can do to pivot.
What is the NMFC
The National Motor Freight Traffic Association (NMFTA) is a nonprofit membership organization based in Alexandria, VA. It represents the interests of less-than-truckload (LTL) carriers and provides many critical services, one of which is the National Motor Freight Classification (NMFC) system.
The NMFC system gives shippers a clear and standard method for classifying items for shipping, accounting for:
- Density
- Handling
- Stowability
- Liability
For additional information, click here.
Breakdown of Changes to NMFC
There are four National Motor Freight changes set to begin this month:
Revised Density Scale
- Instead of using a fixed category to determine freight class, density (weight-to-volume ratio) will be used
- Classifications will become more precise thanks to the expansion of the density scale subcategories, increasing from 11 to 13
Commodity Listings to Become Simplified
- Outdated and redundant categories will be eliminated, reducing the overall number of commodity listings
New Identifiers for Special Handling
- Freight types such as fragile items, hazardous materials, high-value shipments, and odd-shaped or oversized freight will receive unique identifiers to indicate special handling, liability, or storage needs
Updated Compliance Requirements
- To avoid clerical fees and operational disruptions due to noncompliance with new NMFC items, shippers should review and revise their shipping documentation based on classification adjustments
Impact of Changes to NMFC
Changes to the NMFC system may not impact all shippers and carriers, but for those who are and ship a variety of products, be aware that some costs will increase while others will decrease. To know the impact on your business, it will be critical to know your freight’s density and classification in advance.
- Cost increases are likely to occur on bulky lightweight freight and specialty items
- Cost decreases are likely to occur on dense, compact freight. Freight that has fewer misclassifications will also mean fewer unexpected upcharges
How to Get Ahead of NMFC Changes
There are numerous steps you can take to prepare for these National Motor Freight Classification changes:
- Review your freight classifications in advance
- Consolidate shipments and repack lightweight or bulky items to increase density
- Update your shipping and rate agreements based on the NMFC changes
- Educate your staff on changes and new classifications
Takeaway
These new National Motor Freight Classification changes are going to have an impact on how shippers move, classify, and bill for freight. Valley Logistics Solutions is here to be a resource and guide for you through these changes and is prepared to help you navigate them. To learn more about us and our services, click here.
