Freight shipping requires careful consideration of transportation methods to balance cost, speed, and security. Full Truckload (FTL) shipping is a method involving the exclusive use of a single truck trailer to transport large quantities of freight from one origin to one destination. Understanding FTL mechanics and applications is necessary for companies with significant logistical needs.
Defining Full Truckload Shipping
Full Truckload shipping utilizes an entire trailer dedicated solely to a single shipper’s cargo, regardless of whether the physical space is entirely filled. This means the shipment either occupies all available space or reaches the maximum legal weight limit allowed for transport.
Standard North American FTL shipments typically use a 53-foot dry van trailer. These trailers legally carry between 42,000 and 45,000 pounds of cargo and accommodate approximately 24 to 26 standard 40-inch by 48-inch pallets. The FTL designation ensures the shipper pays for the exclusive right to use this entire capacity.
Key Benefits of Using FTL
A primary benefit of FTL service is increased transit speed. Since the truck drives directly from the origin to the final destination, there are no intermediate stops for loading or unloading other customers’ freight. This direct, door-to-door model bypasses the time-consuming process of consolidating cargo at terminal hubs.
The dedicated service also results in reduced handling of the freight. Once the cargo is sealed inside the trailer at the shipper’s dock, it remains untouched until it reaches the receiver. This single-touch movement minimizes the risk of damage, loss, or misplacement. Security is enhanced because the integrity of the original seal is maintained throughout the journey.
FTL is a highly efficient option from a unit cost perspective for shippers moving significant volume. While the total price for the truck is higher than other methods, the cost per pound decreases substantially as the volume approaches the trailer’s maximum capacity. Once a shipment exceeds 10 to 12 pallets, the fixed FTL rate often yields a lower overall expenditure than paying individual rates for a partial shipment.
FTL Versus Less-than-Truckload (LTL)
The primary alternative to FTL is Less-than-Truckload (LTL) shipping, which uses a different logistical model. LTL consolidates multiple smaller shipments from various customers onto a single trailer, sharing the physical space and transportation cost. This shared-space approach is designed for shipments ranging from a single pallet up to about 10 standard pallets or less than 10,000 pounds.
The transit process diverges significantly between the two models. FTL provides a direct route, while LTL relies on a complex hub-and-spoke network. An LTL shipment involves multiple transfers, moving from the origin to a local terminal, onto a line-haul trailer, and finally onto a delivery truck. This necessity for consolidation and de-consolidation significantly extends transit time and introduces variability into the delivery schedule.
The risk profile for cargo changes due to handling requirements. FTL freight is handled only twice—loading and unloading—maintaining product stability. Conversely, LTL cargo is moved with forklifts at every terminal transfer, potentially four to six times throughout the journey. This greatly increases the probability of damage or loss, leading shippers of fragile goods to often select FTL to mitigate this risk.
Cost structures are also distinctly different. FTL pricing is typically a single, negotiated flat rate for the entire lane and capacity, making budgeting straightforward. LTL pricing is more complex, relying on the freight’s National Motor Freight Classification (NMFC) code, density, weight, and distance traveled. The classification system assigns a class from 50 (dense) to 500 (light), which determines the base rate and makes LTL quotes sensitive to the commodity’s characteristics.
Understanding FTL Pricing Factors
The final cost for an FTL shipment involves several dynamic variables contributing to the single, negotiated rate. The foundational factor is the length of the haul, calculated based on the distance between the origin and the destination. This base rate is heavily influenced by current market conditions, specifically the supply and demand for available carrier capacity on that particular lane.
If a lane has high carrier capacity, the price will generally be lower; conversely, high demand for trucks commands a premium. Fuel costs are managed through the variable Fuel Surcharge (FSC), which fluctuates weekly based on the national average price of diesel. This surcharge ensures carriers recover the volatile operating expense of fuel without constantly renegotiating the base freight rate.
The type of equipment necessary also plays a major role in the overall expense. Specialized trailers, such as refrigerated units (reefers) or flatbeds, incur a higher cost than a standard 53-foot dry van, reflecting increased maintenance and operational costs. Additional charges, known as accessorial fees, can be added for services outside of the standard dock-to-dock move, including detention fees if the driver is delayed or lumper fees for third-party loading and unloading services.
When to Choose Full Truckload Shipping
The decision to select FTL is driven by volume, urgency, and the nature of the freight. FTL becomes the choice when cargo volume exceeds the practical or economic limits of consolidated shipping, typically when the shipment is larger than 10 to 12 pallets. This volume threshold makes the dedicated service financially justifiable.
Time-sensitive or urgent cargo is best suited for FTL because the direct, non-stop transit provides the highest degree of predictability and speed. Shippers of fragile or high-value commodities often mandate FTL to ensure minimal handling and maximum security throughout the journey.
FTL is also required when goods necessitate specialized equipment. Examples include temperature-controlled reefers for produce or chemicals, or step-deck trailers for oversized machinery that LTL carriers cannot accommodate.