Changes Are Coming to the NMFC System
Are You Ready?
Important Dates to Keep in Mind
January 30, 2025: NMFTA Calls for Feedback on Docket 2025-1
March 3, 2025: Freight Classification Development Council (FCDC) Meeting
July 19, 2025: Docket 2025-1 Effective Date
Why is the NMFC system changing?
The current NMFC system is complex and outdated. These changes aim to:-
- Simplify the NMFC
- Enhance user experience
- Increase efficiency
What will the proposed changes cover and do?
- Standardized density scale for LTL freight when handling, stowability and liability issues are not present
- Unique identifiers for freight with special handling, stowability, or liability needs
- Condensed and modernized commodity listings
- Improved usability of the Class IT® classification tool if you subscribe to it
- Enhance the freight classification user experience
- Increase the accuracy of the system on the first try
- Reduce friction between shippers, carriers and 3PLs
Q & A
What Less-than-Truckload (LTL) shippers
need to know about the upcoming changes
to the NMFC system with:
Greg McDermitt
Director of Weights & Inspections,
Compliance, Quality & Security and Chairman
of the NMFTA Carrier Procedures Committee
How will the revised classifications impact pricing?
The NMFC classification system is undergoing adjustments that may affect how freight is classified, which directly impacts shipping costs. Shippers will need to be aware of potential shifts in freight classifications that could lead to higher or lower rates depending on the characteristics of their goods.
What impact will more granular classifications have?
The updated NMFC system may introduce more specific or detailed categories, leading to a more granular classification of freight. This could provide more accurate pricing, but also requires shippers to carefully review how their goods are classified to avoid misclassification penalties.
What changes are coming to density based item numbers?
One significant change in the NMFC system is a focus on product density when assigning classes. Products with a lower density (for example lightweight, bulky items) may see an increase in their classification class, which could raise freight costs. Shippers should re-assess their packaging and inventory to optimize density.
Are LTL shippers responsible for the correct classification of their product?
Yes, it is important for shippers to understand that the responsibility for accurately classifying their goods lies with them. Incorrect classification could result in costly corrections and delays, as well as potential fines or surcharges. Shippers should work closely with their carriers to ensure they have the correct classification for each shipment.
What impact will these changes have on transit times and service levels?
The reclassification of certain freight may also impact available service levels and transit times. As LTL carriers adjust their operations to accommodate the new classifications, shippers may experience changes in transit times, service options, or network availability, especially if the reclassification shifts freight to higher-demand or more complex handling requirements.
Being proactive about these changes will help LTL shippers minimize disruptions, optimize costs, and maintain smooth shipping operations in the evolving classification system. Reach out to your Roadrunner Representative if you have questions about how best to classify your LTL
1. Expand FCDC 11-subprovision density progression to 13 – subs by adding classes 50 and 55. This will affect all current items that are already at full density.
2. Make all items with modified density breaks but NO handling, stowability and liability issues 13 – sub full density items.
3. Make single class items with NO handling, stowability and liability issues 13 – sub full density items.
4. Make sub provision items with multiple classes and NO handling, stowability and liability issues 13 – sub full density items.
The inclusion of these items in the 2025-1 docket will be determined upon review by the NMFTA. Once the 2025-1 docket is released on January 30, 2025, you may provide feedback directly to the NMFTA, by clicking here.
For more information about these changes, click here.