Full explanation
LTL (Less-Than-Truckload) freight is a shipping method where multiple shippers' goods share space on a single trailer, with each shipper paying only for the portion of trailer space their shipment occupies. LTL is typically used for shipments between 150 and 15,000 pounds — too large for parcel carriers (UPS, FedEx) but not enough to justify a full truckload. LTL carriers operate terminal networks where freight is consolidated, sorted, and transferred between trailers for efficient routing. This hub-and-spoke model enables service across wide geographic areas but adds transit time compared to direct full-truckload moves. LTL pricing is based on freight class (determined by density, stowability, handling difficulty, and liability), weight, distance, and accessorial services. Major LTL carriers include Old Dominion, XPO, Saia, and Estes. The US LTL market generates approximately $55 billion in annual revenue. Truck Graph identifies approximately 15,000+ carriers with LTL characteristics based on fleet size and operational patterns.
Frequently asked questions
What's the difference between LTL and FTL?
LTL (Less-Than-Truckload) consolidates multiple shippers' freight on one trailer, while FTL (Full Truckload) dedicates an entire trailer to a single shipper's cargo. LTL is cheaper per shipment but slower due to multiple stops.
How is LTL freight priced?
LTL pricing is based on freight class (NMFC classification), shipment weight, origin-destination pair, and accessorial charges. Freight class is determined by the commodity's density, stowability, handling requirements, and liability.
What size shipment should use LTL vs. parcel?
Shipments over 150 lbs or exceeding parcel carrier dimensions (typically 108 inches length, 165 inches L+girth) generally move more cost-effectively via LTL than parcel shipping.