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  7. EDI 417 Rail Carrier Rate Inquiry
Technology

EDI 417 Rail Carrier Rate Inquiry(EDI 417)

Definition

The ANSI X12 EDI transaction set used by shippers or their agents to request a freight rate from a railroad. The 417 specifies the origin, destination, commodity, car type, and other parameters needed to generate a rate quote. It is paired with the EDI 418 rate reply.

Related Terms

Electronic Data Interchange(EDI)

The computer-to-computer exchange of standardized business documents between railroads, shippers, and logistics providers using ANSI X12 transaction sets. Common rail EDI transactions include the 404 (rail shipment), 410 (freight invoice), 417 (rate inquiry), and 418 (rate reply). EDI is the foundational data exchange standard for the North American rail industry.

EDI 418 Rail Carrier Rate Reply(EDI 418)

The ANSI X12 EDI transaction set used by a railroad to respond to an EDI 417 rate inquiry, providing the applicable rate, routing, and validity period. The 418 enables automated rate shopping and contract management in shipper TMS platforms. It is the electronic equivalent of a rate quote.

EDI 404 Rail Shipment(EDI 404)

The ANSI X12 EDI transaction set used to transmit a rail shipment (bill of lading) from a shipper or agent to a railroad. The 404 contains all information needed to create a waybill including origin, destination, commodity, car number, routing, and billing instructions. It is the primary method by which rail shipments are tendered electronically.

Rate

The charge per unit (typically per car, per ton, or per container) for transporting a commodity between specified origin and destination points. Rates may be published in tariffs or established through confidential contracts. Rate levels are influenced by distance, commodity, car type, volume, and competitive conditions.

Rail Rate Negotiation

The process by which a shipper and railroad negotiate the terms of a transportation contract, including rates, volume commitments, service standards, and car supply provisions. Effective negotiation requires understanding market alternatives, the railroad's cost structure, and the shipper's volume and service needs. The Staggers Act enables these confidential bilateral agreements.

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