What Are Trucking Contracts?
Truck contracts are legally binding agreements between carriers and shippers that outline terms for freight transportation services. These contracts govern payment, liability, and service expectations across the US trucking industry.
Key Term: Motor carrier contracts specify equipment requirements, freight classification, and Federal Motor Carrier Safety Administration (FMCSA) compliance obligations for commercial trucking operations.
Major US Trucking Contract Categories
| Contract Type | Description | Avg. Rate | Best For |
|---|---|---|---|
| Dedicated | Exclusive service for single shipper | $2.10-$3.25/mile | Stable income seekers |
| Spot Market | One-time loads (brokered) | $2.50-$4.00/mile | Owner-operators |
| Government | Defense Logistics Agency/DOT loads | $2.75-$3.75/mile | Veteran-owned fleets |
| LTL (Less Than Truckload) | Multiple shippers per trailer | $1.80-$2.60/mile | Regional carriers |
Current US Trucking Contract Trends (2024)
The American Transportation Research Institute reports contract rates stabilizing after 2023 volatility, with these key developments:
- 12% increase in dedicated contract offerings from major retailers
- Spot market rates averaging $2.85/mile (Q2 2024)
- Growing demand for temperature-controlled contracts (+18% YoY)
- Electronic logging device (ELD) mandates now covering 98% of contracts
How to Get Trucking Contracts in the US?
Securing profitable contracts requires strategic positioning and regulatory compliance. Successful carriers combine digital tools with traditional relationship-building.
7-Step Roadmap to Contract Success
- Establish FMCSA Compliance
- Active DOT number
- Minimum $750k liability insurance
- Clearinghouse registration
- Build Operational Credibility
- Safety rating (preferable “Satisfactory”)
- On-time performance metrics
- Equipment maintenance records
- Develop Digital Presence
- Carrier profile on DAT/Truckstop
- Google Business listing
- LinkedIn company page
- Master Load Boards
- DAT Power (largest US board)
- Truckstop.com (best for flatbed)
- 123Loadboard (emerging alternative)
- Cultivate Broker Relationships
- Top 50 freight brokers list targeting
- Weekly check-ins with key contacts
- Transparency in capacity reporting
- Specialize Strategically
- Hazmat endorsements (X endorsement)
- TWIC cards for port work
- Overdimensional permits
- Leverage Industry Associations
- ATA membership benefits
- Local trucking association events
- Exhibiting at MATS show
How to Get Government Freight Contracts?
Federal contracts offer stability but require meticulous preparation. The Defense Logistics Agency (DLA) moves $4B annually in freight.
Winning the DLA Tender: Tennessee Carrier Case Study
“By achieving C-TPAT certification and maintaining a 99.1% on-time rate, our 25-truck fleet secured $3.2M in annual DLA contracts. The key was participating in the SBA’s 8(a) Business Development Program for disadvantaged businesses.” – Michael R., VP Operations
Critical Success Factors:
- SAM.gov registration 6+ months before bidding
- Past Performance Information Retrieval System (PPIRS) scores
- Small Business Administration (SBA) certification
How to Get Transportation Contracts?
Differentiation is key in today’s competitive market. Consider these strategic approaches:
| Strategy | Implementation | Expected ROI |
|---|---|---|
| Niche Specialization | Focus on pharmaceutical/white-glove | 25-40% rate premium |
| Technology Adoption | Real-time tracking integration | 17% higher contract renewal |
| Safety Investment | Install advanced driver assistance | 22% lower insurance costs |
Government Trucking Contracts Guide
Federal acquisitions follow strict protocols under the FAR (Federal Acquisition Regulation). Essential steps include:
Government Contract Readiness Checklist
- ✔️ SAM.gov active registration (UEI required)
- ✔️ Minimum $1M cargo liability insurance
- ✔️ Electronic Logging Device (ELD) compliance
- ✔️ Drug testing program (49 CFR Part 40)
- ✔️ DUNS number and CCR profile
- ✔️ C-TPAT certification for cross-border
- ✔️ Veteran/Woman/Minority-owned certifications
Where to Find Available Trucking Contracts?
The US market offers multiple channels for contract discovery:
Top US Contract Sources
Digital Load Boards
- DAT Express (500K+ daily loads)
- Truckstop.com (Best for flatbed)
- 123Loadboard (Lowest fees)
Government Portals
- SAM.gov (Primary federal site)
- FedConnect (DOD opportunities)
- DLA Land and Maritime (Defense freight)
Industry Networks
FAQs About US Trucking Contracts
1. What’s the difference between contract and spot freight?
Contract freight offers guaranteed volume at fixed rates (typically 1-3 year terms), while spot freight is transactional with variable pricing. Most carriers maintain a 60/40 contract/spot mix for stability and upside.
2. How do owner-operators get contracts?
By leasing to established carriers or qualifying as a motor carrier through:
- Obtaining MC authority ($300 application)
- Securing $1M+ liability insurance
- Building relationships with 3PLs
3. What insurance is required for contracts?
Minimum coverage includes:
| Coverage Type | Minimum Amount |
|---|---|
| Primary Liability | $750,000 |
| Cargo Insurance | $100,000 |
| General Liability | $1M |
4. How are fuel surcharges calculated?
Most contracts use the DOE’s weekly diesel price index with this formula:
(Current Diesel Price – Base Price) / Miles Per Gallon × Surcharge Percentage
Example: $4.50 current – $2.50 base = $2.00 difference / 6 mpg × 85% = $0.28/mile surcharge
5. What’s the best way to bid on contracts?
Follow this bidding methodology:
- Calculate your operating cost per mile (OPC)
- Add 15-25% profit margin
- Factor in deadhead percentages
- Include accessorial charges (lumper fees, detention)
How do I find local trucking contracts?
Target regional produce markets, manufacturing districts, and port authorities. Join your state trucking association for localized opportunities.
What contracts pay the most per mile?
Hazmat (Class 1 explosives), high-value tech, and pharmaceutical shipments typically pay $4.50-$6.00/mile due to specialized requirements.
How long do trucking contracts last?
Dedicated contracts average 1-3 years, while seasonal agreements (produce, retail peak) typically run 3-6 months. Government contracts often have 5-year terms.
