Drayage is an essential component of the shipping and logistics industry as many companies use this service as a necessary form of transport. Let’s examine what drayage is, when it’s necessary, and how businesses use it globally.
History of the term “Drayage”
The term “drayage” originated from “dray,” a vehicle from olden times configured as a cart without sides, typically driven by horses. This mode of transporting goods was used until the beginning of the twentieth century when horses and carts were replaced with modern trucks. However, a person who performs drayage is still often referred to as a “drayman.”
Modern Drayage Service: Essential Supply Chain Component
Drayage is a specialty logistics service that carries freight over a short distance and is an important part of intermodal shipping (using multiple modes of transport). It can also involve moving ocean containers for ships, rails, or trucks. Essentially, drayage is the moving of cargo, often from ports, to receivers using trucks. With drayage, departure, and arrival points are usually part of the same metropolitan area, compared to regional and national movements seen in other types of shipping.
Drayage carriers play a large role in the supply chain, with short-distance movements crucial to keeping cargo moving. Carriers must be relied upon to quickly and safely transport loads to the next shipping dock.
Types of Drayage Classifications
There are several different types of drayage, with each offering specific benefits for the type of shipping you need.
Inter-carrier Drayage
Inter-carrier drayage involves taking freight to two different locations owned by the same carrier. For example, a truck moves cargo from an intermodal hub to a railyard.
Door-to-door Drayage
Just like it sounds, with door-to-door drayage, goods are delivered directly from the sender to the customer over the road.
Expedited Drayage
This type of drayage specifically involves shipping time-sensitive cargo over the road. Expedited shipments are often smaller shipments or less-than-truckload (LTL) which may be transported on a smaller truck with other goods.
Shuttle Drayage
Shuttle drayage is when an intermodal unit is removed to a temporary storage location, such as a parking lot, due to overcrowding in its original hub spot. This occurs for both empty and loaded units.
Pier Drayage
Pier drayage refers to when an intermodal unit is taken to a pier or dock from its previous hub. Approximately 54% of the world’s goods travel in containers before reaching their final destination. With a significant portion of the world’s manufactured goods traveling in containers before reaching customers, intermodal container shipping and the intermodal supply chain has fundamentally changes how the world’s businesses conduct trade.
Specialized drayage capabilities can help shippers optimize their logistics operations, potentially reducing costs and improving efficiency when dealing with heavy freight.
What Equipment is Used for Drayage?
Drayage operations rely on two key pieces of equipment: the truck (also called a tractor) and the chassis. Here’s an overview of each and how the number of axles relates to shipment weight and regulations:
Truck (Tractor)
The truck is the powered vehicle that pulls the chassis and container. For drayage operations, Class 8 trucks are typically used and require drivers with Commercial Driver’s Licenses (CDLs) to operate them.
Chassis
A chassis is a specialized trailer or undercarriage designed to carry ocean containers over land. A tri-axle chassis is a type of trailer or undercarriage used in the transportation of heavy cargo containers. Equipped with three axles, each typically fitted with dual wheels, a tri-axle chassis allows it to carry heavier loads in comparison to standard two-axle chassis.
The number of axles on both the truck and chassis is crucial for weight distribution and compliance with state regulations:
- Weight considerations: Standard chassis configurations are typically sufficient for containers weighing up to 44,000 lbs. For overweight shipments exceeding 44,000 lbs, a tri-axle chassis is often required.
Tri-axle configurations:
- Tri-axle chassis: This type has three axles instead of the usual two, allowing for greater weight capacity. It’s commonly used for heavier loads in drayage operations.
- Tri-axle truck: This refers to trucks with three driving axles (excluding the steering axle).
State regulations:
Many states have regulations limiting the maximum weight that can be carried by different trailer setups. U.S. Federal Law limits single axles to 20,000 pounds and tandem axles (spaced 40-96 inches apart) to 34,000 pounds. Carriers must ensure their equipment complies with the regulations of all states along their route.
Adaptability:
Some drayage carriers, like Heavy Weight Transport, have invested in specialized chassis and tractors to offer increased cargo weight capacity while reducing volume, which can help optimize shipping costs for their customers.
Heavy Weight Transport designed its fleet of specialized drayage chassis and tractors for customers who need to transport increased cargo weight but decreased volume, minimizing shipping costs as much as possible. Our designated fleet means better availability as we don’t need to obtain equipment from a shared chassis pool.
How Drayage Charges Work
Drayage charges in the U.S. involve a complex system of fees for short-distance freight transport, typically from ports to nearby destinations, involving various factors such as distance, weight, time, and additional services that can significantly impact shipping costs. Dependable carriers use technology to simplify their efforts and provide transparency on rates for their customers.
Factors impacting drayage charges vary by carrier, including:
- Base Fee: A fundamental charge is assessed for moving goods from the port to their destination. This is based on factors such as distance, delivery time, and ease of handling.
- Weight and Distance: The weight of the shipment and the distance it needs to be transported are often the most critical factors in determining drayage costs.
- Accessorial Charges: Additional fees are applied for services outside standard procedures, such as fuel surcharges, tolls, waiting time, special handling, or equipment usage.
- Time-based Fees: Includes detention fees (when carriers wait beyond the allotted “free time” for container pickup or unloading) and demurrage fees (when cargo remains at the port or terminal longer than the allowed time).
- Equipment and Port Fees include:
- Chassis Fees: Charges for using container chassis, which may be pass-through costs or include administrative fees.
- Port Fees: Specific charges associated with particular ocean terminals, influenced by factors like congestion and appointment scheduling.
- Weight-related Charges:
- Overweight Fees: Applied when containers exceed legal weight limits, potentially including costs for special permits.
Potential additional Fees:
- Drop Fees: Charged when a carrier needs to leave a container at the destination and return later.
- Pre-pull Fees: Acquired when a container is pulled from the terminal to prevent demurrage and staged for later delivery.
- Chassis Split Fees: Charged if a trucker must travel to another location due to chassis unavailability at the terminal.
If you are looking to reduce drayage charges, it’s important to work with a carrier who understands your challenges and focuses on the most efficient shipping methods. A knowledgeable and experienced carrier can streamline your cargo, with the latest in green and lean packaging materials and methods, helpful strategies to trim freight weight, and respect for your budget and your bottom line.
Drayage Transportation You Can Trust
Developing a relationship with a reputable drayage company ensures you understand how rates are determined, that they are calculated and presented for your review and approval before being charged, and that shipments are treated with the importance, care, and respect they deserve. Signs of a high-quality drayage operation include a variety of top-level equipment and trucks that are maintained to the highest standard, and customer service you can count on whenever you need it.
Heavy Weight Transport uses an intelligent, proprietary drayage operational system called iTMS (Transportation Management System) for their trucking operations. This system leverages automation to streamline operations and optimize internal processes, from load verification to tracking and operations. Heavy Weight Transport’s in-house Warehouse Management System (WHMS) links directly to iTMS to seamlessly manage transloading inventory – no manual entry is needed.
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