Freight Terms & Glossary
Services
Master the Language of Logistics with Dynamic Freight Group
The freight and logistics industry comes with a unique set of terms, acronyms, and definitions that are essential for smooth operations. Understanding these key freight terms helps businesses, shippers, and carriers communicate effectively, avoid misunderstandings, and navigate the industry with confidence.
At Dynamic Freight Group (DFG), we’ve compiled a comprehensive glossary of essential freight terminology to keep you informed and empowered in your logistics journey.
Why Understanding Freight Terms Matters?
Features
✅ Improves Communication – Clearer interactions with carriers, brokers, and logistics partners.
✅ Prevents Costly Mistakes – Avoid misunderstandings related to rates, contracts, and shipping processes.
✅ Enhances Decision-Making – Make informed logistics choices with a solid knowledge of freight terms.
✅ Simplifies Compliance – Stay up to date with regulatory terms and shipping documentation.
Essential Freight Terms You Should Know
General Freight Terms
- Bill of Lading (BOL): A legal document issued by a carrier to confirm receipt of goods for shipment.
- Freight Class: A standardized classification system for different types of cargo, affecting shipping rates.
- Accessorial Charges: Additional fees for extra services like inside delivery, detention, or liftgate service.
Shipping & Delivery Terms
- FOB (Free on Board): Determines when the ownership of goods transfers from seller to buyer.
- Last-Mile Delivery: The final step in the delivery process, bringing goods from a hub to the customer.
- Drayage: Short-distance transport of freight between ports, rail yards, and distribution centers.
Freight Transportation Modes
- LTL (Less Than Truckload): A shipping method for smaller freight that doesn’t require a full trailer.
- FTL (Full Truckload): A dedicated truckload shipment used for large freight or high-volume loads.
- Intermodal: A shipping method using multiple modes of transportation, such as rail, truck, and sea.
Rate & Cost Terms
- Freight Rate: The cost charged by a carrier for transporting goods from one location to another.
- Dimensional Weight (DIM Weight): A pricing method based on package volume rather than actual weight.
- Fuel Surcharge: A variable charge added to freight costs based on fuel price fluctuations.
Regulatory & Compliance Terms
- HS Code (Harmonized System Code): A standardized numerical classification for goods in international trade.
- Customs Brokerage: A licensed service that helps businesses navigate import/export regulations and clear shipments through customs.
- DOT (Department of Transportation): The U.S. government agency that regulates transportation safety and standards.
Stay Informed with Dynamic Freight Group
Logistics is a fast-paced and complex industry, and staying informed is key to success. Our Freight Terms Glossary is designed to help businesses and carriers enhance their knowledge, improve efficiency, and navigate freight logistics with ease.
Expertise
With 20+ years of expertise and advanced tech, we simplify your shipping every step of the way.
Efficiency
Our advanced tech platform streamlines shipping, accelerating timelines and reducing costs.
Reliability
With 24/7 monitoring and proactive support, we ensure your freight arrives on time, every time.