Logistics glossary
Key terms from road freight, tolls, documents and cost calculation, each explained in a few sentences.
Costs & pricing
- Groupage add-on load (Beiladung)
An add-on load (Beiladung in German) is an extra shipment added to an existing load in free cargo space.
- Fuel surcharge (Dieselfloater)
A fuel surcharge clause (Dieselfloater in German) automatically adjusts the freight rate to changes in the diesel price.
- Freight exchange
A freight exchange is an online platform where shippers and forwarders post loads and carriers post free capacity.
- Freight costs
Freight costs are all costs incurred to move a shipment from sender to consignee.
- Cost per kilometre
Cost per kilometre is the total cost of a trip divided by the kilometres driven.
- Empty running / empty kilometres
Empty running is driving without cargo, for example to the loading point or back after delivery.
- Backhaul
A backhaul is a load for the return journey that fills an otherwise empty trip back to base or to the next loading point.
- Demurrage / detention (Standgeld)
Detention (Standgeld in German) is the compensation a carrier can claim when it has to wait beyond the agreed loading or unloading time.
- Unit cost
Unit cost is the cost per unit of output – in transport usually per pallet, loading metre, tonne or kilometre.
Rules & regulations
- ECMT permit (CEMT)
The ECMT permit (CEMT in German and French) is a multilateral licence for hire-and-reward international road haulage between the more than 40 member countries of the International Transport Forum (ITF).
- EU Community licence
The Community licence is the EU-wide authorisation for hire-and-reward cross-border road haulage within the EU.
- EU Mobility Package
Mobility Package I is a 2020 set of EU laws for road freight transport.
- Dangerous goods (ADR)
Dangerous goods are substances and articles that can pose risks to people, the environment or property during transport.
- Cabotage
Cabotage is domestic transport carried out by a foreign haulier in another EU country – for example a Polish truck loading and unloading within Germany.
- Driving and rest times
Driving and rest times are the EU-wide maximum driving hours and minimum breaks and rest for professional drivers under Regulation (EC) No 561/2006.
- Tachograph
A tachograph is an on-board device that records driving and rest times, speed and distance.
Tolls & vignettes
- EETS / toll box
EETS (European Electronic Toll Service) lets road users pay tolls in all EU electronic toll systems with a single contract with one EETS provider and a single on-board unit (toll box).
- Eurovignette
The Eurovignette is a time-based road user charge for trucks of 12 t maximum authorised mass and above, bought for a day, week, month or year.
- GO toll (Austria)
The GO toll is Austria's distance-based toll for all vehicles over 3.5 t maximum permissible mass.
- HGV Road User Levy (UK)
The HGV Road User Levy is a time-based road charge in the United Kingdom for trucks of 12 t and over.
- Truck toll (Germany, Lkw-Maut)
The German truck toll (Lkw-Maut) is a distance-based charge in cents per kilometre that has applied since 1 July 2024 to vehicles with a technically permissible maximum mass above 3.5 t.
- LSVA (Switzerland)
The LSVA (performance-related heavy vehicle fee) is Switzerland's charge for goods vehicles and trailers over 3.5 t permissible total weight.
- Vignette
A vignette is a time-based road user charge: you pay for a period (day, week, month, year), not per kilometre.
Parties
- Sender (shipper, consignor)
The sender is the party that concludes the contract of carriage and hands over the goods for transport.
- Dispatching (freight transport)
Dispatching is the planning and control of transport orders: the dispatcher assigns orders to vehicles and drivers, plans routes and schedules, and works out whether a load is worth taking at the offered freight rate.
- Carrier (Frachtführer)
The carrier is the company that undertakes, under a contract of carriage, to transport goods to their destination and deliver them there.
- Freight forwarder
A freight forwarder organises the transport of goods for its customer without necessarily carrying them itself.
Cargo & capacity
- Euro pallet (EPAL)
The Euro pallet (EPAL 1) is a standardised wooden pallet measuring 1,200 × 800 × 144 mm, weighing about 25 kg with a load capacity of 1,500 kg.
- Vehicle utilisation
Vehicle utilisation describes how much of a vehicle's available capacity is used – by weight, volume, loading metres or loaded kilometres.
- FTL, LTL and LCL
FTL (Full Truck Load) is a shipment that fills a vehicle on its own; LTL (Less Than Truck Load) is a part load that shares the load space with other shipments.
- Loading metre (LDM)
A loading metre (LDM) is one metre of cargo space along the length of a vehicle across the full width of the load area – about 2.40 m in a semi-trailer.
- Load securing
Load securing means securing cargo against sliding, tipping and falling during the journey.
- General cargo / piece goods (Stückgut)
General cargo (Stückgut in German) consists of goods counted and handled as individual pieces – for example pallets, crates, drums or mesh boxes.
Vehicle
- Euro emission standard (Euro 5 / Euro 6)
The Euro emission standard sets pollutant limits for vehicles; for trucks the stages are written in Roman numerals (Euro V, Euro VI).
- Refrigerated transport (reefer)
Refrigerated transport is the carriage of temperature-controlled goods in vehicles with a refrigeration unit (reefer).
- Tail lift
A tail lift is a hydraulic lifting platform at the rear of a truck that allows pallets to be loaded and unloaded without a dock or forklift.
- Payload
Payload is the maximum weight a vehicle may carry: maximum authorised mass minus unladen weight (including driver, fuel and bodywork).
- Articulated truck (semi-trailer truck)
An articulated truck consists of a tractor unit and a semi-trailer resting on the fifth wheel.
- Maximum authorised mass
The maximum authorised mass (gross vehicle weight) is the highest weight a vehicle including its load may have.
Documents & customs
- Proof of delivery (POD)
A proof of delivery (POD) confirms that the shipment has reached the consignee – usually by signature, date and time on the consignment note or digitally.
- CMR consignment note
The CMR consignment note is the contract of carriage for international road freight under the CMR Convention (Geneva, 19 May 1956).
- HS code / commodity code
The HS code is an internationally standardised 6-digit commodity code under the World Customs Organization's Harmonized System.
- Incoterms® 2020
Incoterms® 2020 are 11 trade terms published by the International Chamber of Commerce (ICC) that define who bears transport costs, risk and formalities under a sales contract.
- Bill of lading (B/L)
The bill of lading (B/L) is the key document in sea transport: the carrier's receipt for the goods, evidence of the contract of carriage and a document of title representing the goods.
- SSCC (Serial Shipping Container Code)
The SSCC (Serial Shipping Container Code) is a globally unique 18-digit number under the GS1 standard that identifies a logistic unit, such as a pallet.
- T1 transit procedure
The T1 procedure (external Union transit) allows non-Union goods to be moved through the EU customs territory under customs supervision without paying import duties.
Logistics concepts
- Cross-docking
Cross-docking is a transhipment method in which incoming goods are sorted and loaded directly onto outgoing vehicles without being stored – usually within a few hours.
- Hub and spoke
Hub and spoke is a network model in which shipments from many regions are taken to a central transhipment point (hub), sorted there and distributed to the destination regions (spokes).
- Just-in-time (JIT)
Just-in-time is a supply concept in which materials arrive at production exactly when needed, to minimise inventory.
- Linehaul (trunk haul)
Linehaul is the main leg of a transport chain: the long-distance route between two transhipment points or hubs, usually with fully loaded vehicles on scheduled runs.
