Shippers, be prepared—changes to the data on your bills of lading (BOLs) are coming. These updates could impact your shipping operations, so staying informed is crucial to ensuring efficiency and compliance as the industry evolves.
The less-than-truckload (LTL) shipping sector is constantly adapting to technological advancements and process improvements. As part of this evolution, industry standards for freight classification are being updated to enhance clarity and accuracy. These changes, set to take effect on July 19, 2025, may significantly impact operational processes, pricing structures, and overall efficiency.
This update will simplify classification standards, ensuring that freight classifications better reflect the nature of shipments. Understanding these adjustments in advance will help minimize disruptions, reduce misclassification risks, and prevent unnecessary costs.
Why Accurate Classification Matters
Freight classification plays a key role in determining how shipments move through interstate, intrastate, and international supply chains. A shipment’s class is based on various factors, including size, weight, density, handling requirements, stowability, and liability.
For example, a lightweight but bulky item may cost more to transport than a dense, compact item due to the space it occupies and the potential for damage. Misclassifying shipments can result in over- or undercharging, disputes with carriers, and operational inefficiencies. Maintaining accurate classifications not only benefits shippers but also ensures smoother transactions with carriers, fostering stronger business relationships.
Compliance and Cost Control
Using accurate freight data helps prevent disruptions caused by classification errors, avoids penalties, and ensures smooth logistics operations. Misclassified shipments can lead to unexpected charges, compliance violations, and strained relationships with carriers. Over time, these issues can result in higher costs, delays, and reduced trust in supply chain partnerships.
Aligning with updated classification standards helps shippers maintain operational efficiency, control costs, and enhance reliability in their logistics processes.
Preparing for the Transition
To navigate these changes successfully, shippers should stay informed about industry updates and ensure they have access to the latest classification data. Utilizing tools and resources that provide real-time freight classification insights can help improve accuracy, avoid additional charges, and optimize shipping strategies.
By preparing in advance, businesses can enhance pricing accuracy, improve shipment efficiency, and reduce unnecessary costs. Staying proactive about these upcoming changes will be essential to maintaining smooth and compliant shipping operations.
