A large portion of the world’s commerce depends on freight shipping, with more than $21 billion spent on it last year in the U.S. alone. There are more than 1 million carriers operating across the country, hauling goods between markets and contributing to the economy. What does freight shipping mean to you? Probably a great deal, considering that much of what you purchase every day depends on it in some capacity. However, the process isn’t well understood by most people. With that in mind, here are some key points you should know.
What is Freight Shipping?
Simply put, freight shipping is the act of transporting cargo. Whether by land, sea, air or a combination, merchants around the world contract with brokers and carriers to have their products shipped to customers. As the global marketplace becomes bigger and more connected, the volume of freight being sent out is steadily increasing. It is predicted that the amount of goods carried by truck will grow between 2 and 3 percent each year through 2022. This means new markets are opening up to manufacturers and new opportunities are being created for logistics firms.
Some Important Terms to Know
If you’re wondering, “What does LTL mean in shipping?” you’re not alone. As you familiarize yourself with the ins and outs of the industry, you’ll encounter various abbreviations. Here are some of the most common:
- LTL — What is LTL shipping? The term refers to less-than-truckload shipments. These make up the largest segment of the market because most shipments are not large enough to fill an entire trailer. These are typically between one and six pallets’ worth of products.
- PTL — A partial truckload shipment is larger, but still not enough to fill an entire trailer. These loads typically fill between six and 12 pallets.
- FTL — This refers to a full truckload, which means the container is filled with goods from a single manufacturer. These containers may be hauled via truck or train.
- 3PL — This abbreviation stands for third-party logistics, which includes independent carriers and brokers that arrange for the transportation of goods, products and parts between points.
What to Look for in a Freight Shipping Company
One of the most essential freight shipping tips is selecting the right 3PL partner. Choosing a carrier to handle your shipments is a crucial element for the success of your supply chain. That’s especially true in today’s world of e-commerce, where fulfillment has to be fast and responsive to succeed. You want a provider that can ensure on-time delivery with superior protection for your shipments.
Trans Global Auto Logistics has been one of the recognized experts in the freight industry for decades. We will work closely with you to determine your needs and create a plan that makes sense for you. With our expert service handling your freight shipments, you’ll have one less thing to worry about and you can concentrate on doing what you do best. For more information about everything we can do for you, reach out to us today.