Shippers Must Now Provide Exact Pallet Specs to Accurately Classify Goods and Avoid Fees

Starting July 19, 2025, major updates to how freight is classified in the United States will take effect. Under the Freight Classification Docket 2025-1, the National Motor Freight Traffic Association (NMFTA) will eliminate the traditional four-factor model—handling, stowability, liability, and density—and move to a density-only system for determining LTL (less-than-truckload) freight classes.

The new system provides concise categorization for specific beverage types like beer, wine, spirits, and low-alcohol carbonated beverages. Under the new structure, classification is based primarily on density. Goods with higher density will fall into lower freight classes with lower shipping costs.

Key takeaways:

• Shippers must now provide exact pallet dimensions (length, width, and height) and weight to accurately classify goods.
• Failure to comply could lead to misclassification fees, while proper implementation could reduce disputes and streamline shipping operations.
• If you transport beverages like beer, wine, spirits, or non-intoxicating alternatives, understanding this update is key to properly classifying your shipments and avoiding unnecessary expenses.

Accuracy matters. It is important to ensure the measurement weight of your shipment is accurate to avoid loads getting labelled with a re-class rebilling. An accurate height is essential to calculate the correct density. In addition, some LTL carriers have specific requirements related to pallet heights with additional charges on shipments that cannot be stacked.

Communicate closely with your freight partners and carriers to clarify how these changes may affect rates, shipment timelines, or handling procedures.

Thanks to Adrian, Brandon, and Louise at Brew Movers for their input on this communication. For more information, check out their blog post 2025 Freight Classification Changes and Their Impact on Shipping.