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What is NMFC?

What is NMFC? 690 518 Transmodal

The National Motor Freight Classification (NMFC) system is a standard method that is used by the trucking industry to categorize and rate various types of commodities for less-than-truckload (LTL) transportation. Its full name is the National Motor Freight Classification. The NMFC is a standardized system that categorizes each product into a certain commodity class according to its density, ease of handling, capacity for storage, and potential for damage. This classification assists carriers in determining the LTL trucking rates that should be applied to each product in order to ensure that pricing is both uniform and fair.

The first step in the categorization process is to determine the type of good that is being transported and to evaluate its properties, which may include its density, its ability to be handled, its stowability, and its liability. The NMFC will then designate the product with a commodity class, with class 50 being the least valuable and class 500 being the most valuable. The more expensive the product is classified, the more expensive the shipping rate will be.

The National Motor Freight Traffic Association (NMFTA), an industry association comprised of more than 1500 motor carriers, shippers, and other industry participants, defines the NMFC codes that are used to classify commodities. These codes are based on the National Manufacturers Freight Classification (NMFC) system. These codes are published in the NMFC and are constantly updated to reflect changes in the industry, such as the introduction of new technology or modifications to the applicable regulations.

Because it determines the rates that LTL trucking companies and shippers will be charged for transportation, the classification procedure is extremely important to all parties. Shippers are better able to estimate how much it will cost to move their goods, and carriers are better able to communicate their pricing and service requirements to their customers.

In conclusion, the NMFC classification process is a standardized method that is used to categorize and grade a variety of different items for less-than-truckload (LTL) transportation. By taking into account the features of each product, such as its density, handling, stowability, and liability, it helps to ensure that pricing is both fair and consistent. The NMFC codes are regularly updated to guarantee that the classification system is always accurate, timely, and fair. This is done to ensure that the system reflects changes that have occurred within the industry.