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Federal Hazardous Materials Rule Targets $100 Million in Annual Savings for Trucking

PHMSA proposes sweeping updates to hazmat transport regulations, easing tanker truck paperwork and updating cargo tank inspection standards.

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Washington, D.C. — The Pipeline and Hazardous Materials Safety Administration released a proposed regulatory overhaul aimed at cutting compliance expenses by nearly $100 million annually for businesses and consumers. Unveiled on a Monday by federal transportation officials, the package modernizes hazardous materials rules to reflect current logistics practices and emerging technologies. For cargo tank operations, the agency seeks to simplify hazard communication protocols while preserving existing safety thresholds across the national supply chain.

Hazmat transport represents a massive share of everyday freight moving across the United States. Federal regulators designed the new provisions to strip away outdated administrative hurdles that slow down transport operations. The rulemaking incorporates National Transportation Safety Board recommendations for rail equipment, while establishing updated manufacturing parameters for fertilizer tanks and permitting advanced video and fiber optic technology for cargo tank calibrations.

U.S. Transportation Secretary Pete Buttigieg stated that the initiative reduces red tape for carriers while maintaining strict safety standards. PHMSA Deputy Administrator Tristan Brown emphasized that the agency focused heavily on lifting unnecessary regulatory pressure from truck drivers to keep critical energy supply chains moving without interruption. The Office of the Federal Register is currently reviewing the text, and industry stakeholders will have a 90-day window to file formal comments once publication occurs.

What This Means for Drivers

For owner-operators and company drivers hauling bulk liquids, the proposed updates bring tangible paperwork relief. Tanker haulers will be allowed to display the UN identification number corresponding to the lowest flash point petroleum distillate carried on that specific day, eliminating constant placard adjustments for certain multi-drop routes. The rules also authorize the use of digital video equipment for mandatory tank inspections, cutting down the time spent waiting on physical test setups. At the same time, drivers must note stricter mandates requiring proper bonding and grounding during every transfer of combustible or flammable liquids from cargo motor vehicles.

Industry Reaction

Commercial carriers and energy logistics providers have long pressed federal regulators to align hazardous materials rules with modern digital recordkeeping and inspection capabilities. The push toward electronic registration submissions and video-based testing methods reflects a broader industry shift toward efficiency that trucking companies hiring OTR drivers have advocated for years. By clearing legal hurdles for remote diagnostics and streamlining hazard labels, the agency aims to reduce dwell times at loading racks and terminals.

Key Points

  • PHMSA projects the proposed rule will save businesses and consumers nearly $100 million annually.
  • Tanker trucks can display the UN ID number for the lowest flash point petroleum distillate transported that day, excluding certain high-ethanol blends.
  • The rule explicitly permits video and fiber optic technology for inspecting and calibrating cargo tanks.
  • Mandatory bonding and grounding are required during the transfer of combustible or flammable liquids from cargo tank motor vehicles.

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Photo by gabesdotphotos photographer on Pexels

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Dave Kowalski
Owner-operator and industry commentator. Runs his own flatbed operation out of Ohio.