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X12 transaction guide · Transportation

EDI 106 Motor Carrier Rate Proposal

The X12 document a motor carrier uses to propose rates and services to a shipper, receiver or other party.

Sent by
Motor carrier
Received by
Shipper, receiver or logistics provider
Standard
ANSI ASC X12

What is an EDI 106?

The EDI 106 Motor Carrier Rate Proposal is the ANSI X12 transaction set a motor carrier uses to propose rates and services to a shipper, receiver or other party. It describes the lanes or points covered, the rate basis, charges, accessorials, service terms and effective dates.

The 106 is part of a three-document rate negotiation: a shipper can ask for a proposal with the 107, the carrier proposes with the 106, and the shipper accepts, rejects or counters with the 108. Agreed rates then feed the shipper's transportation management and freight audit systems.

How the EDI 106 worksDiagram of the EDI 106 Motor Carrier Rate Proposal. Motor carrier sends it to shipper, receiver or logistics provider. It usually follows 107. It is usually followed by 108 and 997. Inside the ISA, GS and ST envelopes, X12 release 008010 requires, in the heading: BGN (Beginning Segment), BLR (Transportation Carrier Identification) and the required 0200 loop with N1 (Party Identification) and detail: the required 0400 loop with LX (Transaction Set Line Number) and the required 0430 loop with CA1 (Rate Request Identifier) and the required 0434 loop with RTT (Freight Rate Information). 6 optional loops are listed by their first segment.How the EDI 106 worksMotor Carrier Rate Proposal: who sends it, where it fits and what the standard marks required1 WHERE IT FITSUSUALLY FOLLOWS107Request for Motor CarrierRate ProposalEDI 106SENDERMotor carrierRECEIVERShipper, receiver orlogistics provider997 or 999 acknowledgment back, if the partners agreeUSUALLY FOLLOWED BY108Response to a MotorCarrier Rate Proposal997FunctionalAcknowledgment2 WHAT X12 RELEASE 008010 REQUIRESInterchange: sender and receiver IDsISA … IEAFunctional group, ID code MHGS … GETransaction set 106ST … SEHEADINGBGNBeginning SegmentBLRTransportation Carrier IdentificationRequired loop 0200 · repeats up to 10N1Party Identification+ 2 optional loops, starting with:MS2TFDETAILRequired loop 0400 · repeats up to 99,999LXTransaction Set Line NumberRequired loop 0430 · repeats up to 99,999CA1Rate Request IdentifierRequired loop 0434 · repeats up to 999RTTFreight Rate Information+ 4 optional loops, starting with:MS2TFBlue box: required loop. Optional loops are listed by the segment that starts them; when a loop is used, that first segment is required. Optional segmentsoutside loops are not drawn.Structure: required segments and loops in the X12 008010 listing for the 106. Your trading partner's implementation guide adds its own requirements.
How the EDI 106 worksDiagram of the EDI 106 Motor Carrier Rate Proposal. Motor carrier sends it to shipper, receiver or logistics provider. It usually follows 107. It is usually followed by 108 and 997. Inside the ISA, GS and ST envelopes, X12 release 008010 requires, in the heading: BGN (Beginning Segment), BLR (Transportation Carrier Identification) and the required 0200 loop with N1 (Party Identification) and detail: the required 0400 loop with LX (Transaction Set Line Number) and the required 0430 loop with CA1 (Rate Request Identifier) and the required 0434 loop with RTT (Freight Rate Information). 6 optional loops are listed by their first segment.How the EDI 106 worksMotor Carrier Rate Proposal: who sends it,where it fits and what the standard marksrequired1 WHERE IT FITSUSUALLY FOLLOWS107Request for Motor Carrier Rate ProposalEDI 106SENDERMotor carrierRECEIVERShipper,receiver orlogisticsprovider997 or 999 acknowledgment back, if the partnersagreeUSUALLY FOLLOWED BY108Response to a Motor Carrier RateProposal997Functional Acknowledgment2 WHAT X12 RELEASE 008010 REQUIRESInterchange: sender and receiver IDs (ISA… IEA)Functional group, ID code MH (GS … GE)Transaction set 106 (ST … SE)HEADINGBGNBeginning SegmentBLRTransportation CarrierIdentificationRequired loop 0200 · repeats upto 10N1Party Identification+ 2 optional loops, starting with:MS2TFDETAILRequired loop 0400 · repeats upto 99,999LXTransaction Set LineNumberRequired loop 0430 · repeatsup to 99,999CA1Rate RequestIdentifierRequired loop 0434 ·repeats up to 999RTTFreight RateInformation+ 4 optional loops, starting with:MS2TFBlue box: required loop. Optional loops are listedby the segment that starts them; when a loop isused, that first segment is required. Optionalsegments outside loops are not drawn.Structure: required segments and loops in the X12008010 listing for the 106. Your trading partner'simplementation guide adds its own requirements.

How to read this diagram: the top row shows who sends the 106, to whom, and which documents usually come before and after it. The lower part shows what X12 release 008010 itself requires: the envelopes around the 106 and the segments and loops the standard marks as required, area by area. Optional loops are listed by the segment that starts them rather than drawn in full. This is the standard's minimum, not a trading partner's requirement: each partner's implementation guide usually makes some optional loops mandatory, restricts the codes and may use a different release.

Expand diagram Download SVG

When it is used

  • Proposing rates in response to a shipper's request or bid
  • Offering rates on new lanes or services
  • Proposing changes to existing rates

Where it fits in the document flow

Usually follows 107 Request for Motor Carrier Rate Proposal
This document 106 Motor Carrier Rate Proposal
Usually followed by 108 Response to a Motor Carrier Rate Proposal997 Functional Acknowledgment

Structure

Mandatory segments in the 106 (X12 release 008010)

The segments X12 release 008010 marks as mandatory at their level, in order. Segments inside optional loops are needed only when the loop is used. This is the standard's requirement, not your trading partner's: each partner's implementation guide names the release it uses, adds the optional segments it requires and restricts the values. The requirement status comes from one published X12 reference listing and has not been checked against a second source.

  • ST
  • BGN
  • BLR
  • MS2
  • TF
  • N1
  • LX
  • CA1
  • RTT
  • SE

Practical example

The 106 in practice

A manufacturer runs its annual truckload bid and sends carriers a 107 listing 40 lanes with expected volumes. A regional carrier replies with a 106 proposing a rate per mile for 15 of the lanes, its fuel surcharge table, accessorial charges and a one-year validity period. The manufacturer evaluates the proposal and responds with a 108.

Implementation

Implementation considerations for the 106

  • Match each proposed rate to the lane identifiers in the request.
  • State the rate basis and units clearly, such as per mile, per hundredweight or flat.
  • Include effective and expiry dates so rates can be loaded correctly.
  • Keep proposals consistent with the tariff and rate data used for invoicing.

How ECOM helps

Automate the 106 with ECOM

Industry

Trucking and Transportation

Load tenders, responses, status and freight invoices for carriers, brokers and shippers, integrated with the TMS.

Solution

Logistics Automation

Automate tenders, status updates, freight invoices and warehouse orders with logistics partners.

Industry

Manufacturing

Customer schedules, supplier connectivity and shipping integrated with the ERP for manufacturers.

More general questions about EDI are answered in the EDI FAQ.

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