Cargo Van

Cargo Van in Trucking

A cargo van in the trucking industry is a versatile, smaller-sized vehicle primarily used for expediting loads. Offering enough space to carry significant amounts of cargo while being agile enough to navigate through urban environments and tight spaces and having lesser requirements than commercial motor vehicles, such as no need for CDL and in most cases a DOT or MC number.
It is the smallest vehicle in the industry below the box truck and the much larger semi. It is one of the most popular vehicles for NON-CDL trucking.

Regulatory Compliance and Non-CDL Advantage

A significant benefit of cargo vans is their classification within the non-Commercial Driver’s License (non-CDL) category. This means they can be operated without the need for a CDL, broadening the pool of potential drivers. It simplifies regulatory compliance, as operators of cargo vans are not subjected to the stringent regulations that govern larger commercial vehicles. This ease of use has made cargo vans a popular choice for startups and entrepreneurs entering the logistics sector.

Cargo Van Federal Requirements

Do you need a DOT number for a Cargo Van

You only need a DOT number if you are involved in interstate commerce and meet any of the following criteria:

Transporting Passengers
If the cargo van is designed or used to carry 8 or more passengers (including the driver) for compensation, or more than 15 non-commercial passengers (including the driver).

Transporting Hazardous Materials
If the van is used to transport hazardous materials requiring a safety permit.

Weight Considerations
If the cargo van has a gross weight or gross combination weight of 10,001 pounds or more.

Interstate Trade or Transportation
If you are involved in trade or transportation between a state and a location outside that state (including locations outside the United States), or in transit between two locations within the same state as part of trade or transportation originating or terminating outside that state or the U.S.​​.

State-Specific Requirements
Additionally, some states have their own regulations requiring all commercial motor vehicle (CMV) operators to obtain a DOT number, whether they operate only within the state or across state lines. These states include Alabama, Alaska, Arizona, California, Colorado, Connecticut, Delaware, Florida, Georgia, Idaho, Indiana, Iowa, Kansas, Kentucky, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Montana, New Jersey, New York, Nebraska, Nevada, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, South Carolina, Texas, Utah, Washington, West Virginia, Wisconsin, and Wyoming. If you operate a cargo van in any of these states, you need to register for a DOT number regardless of your operations’ interstate nature​.
Learn more about US DOT Number here.

Do You Need an MC Number for a Cargo Van

An MC number, issued by the Federal Motor Carrier Safety Administration (FMCSA), is required under specific circumstances, primarily related to the type of commerce in which the van is used.

Interstate Commerce Requirements

If a cargo van is used for interstate commerce, which includes transporting goods across state lines, and the combined gross weight of the van and its load exceeds 10,000 pounds, then obtaining an MC number is mandatory.
This requirement is applicable irrespective of whether the van is used for hire, like carrying goods for other companies, or for transporting the operator’s own goods​​.

Intrastate Commerce and State-Specific Regulations

For cargo vans engaged in intrastate commerce (transporting goods within a single state), the requirements for an MC number can vary depending on the state. Some states may mandate an MC number for certain types of commercial vehicles, even if they do not engage in interstate commerce. It’s important to note that commercial vehicle operation regulations can be complex and are subject to a range of factors​​.

General Terms for Requiring an MC Number

According to the FMCSA, the following entities generally require an MC number:
1. Motor carriers and freight forwarders operating commercial motor vehicles in interstate commerce.
2. Companies transporting regulated commodities requiring a safety permit.
3. Owner-operators, brokers, and leasing companies engaged in intrastate or interstate operations.
4. Companies employing drivers for transporting passengers for hire in interstate commerce​.
Learn more about MC Number here.

Minimal Liability Requirement

For cargo vans with a Gross Vehicle Weight Rating (GVWR) of less than 10,000 pounds the FMCSA mandates that for-hire motor carriers must carry public liability insurance of at least $300,000.
Learn more about FMCSA here.

The Versatility of Cargo Vans

Cargo vans, with their compact size and ample storage space, offer a unique blend of convenience and efficiency. Unlike their larger counterparts, these vans navigate urban and suburban streets with ease, making them ideal for last-mile deliveries – the final step in the supply chain. The rise of e-commerce has significantly boosted the use of cargo vans, as businesses seek more agile and cost-effective ways to deliver products directly to consumers.
Additionally, cargo vans are often used by small businesses and contractors for transporting tools, equipment, and supplies.

Economic Benefits

One of the key advantages of cargo vans is their cost-effectiveness. These vehicles are generally more affordable to purchase or lease and maintain than larger trucks. They offer better fuel efficiency, which reduces operating costs and minimizes environmental impact. 

Adaptability and Customization

Cargo vans’ interior space can be extensively customized to suit various business needs, from shelving units and refrigeration systems to specialized equipment for technical services. This adaptability makes them a preferred choice for a wide range of industries, including catering, floristry, and technical repair services. Moreover, the exterior of cargo vans offers valuable advertising space, turning each vehicle into a moving billboard for the business.

Most Popular Cargo Vans for Expediting

The Mercedes-Benz Sprinter is probably the most popular choice in this category, known for its spacious cargo area and the ability to accommodate up to four full-size pallets, which is a significant advantage for logistics and delivery services. Ford Transit is another popular option for cargo van expediting.
Learn about other Types of Trucks here.

External Links

Commercial Truck Insurance Requirement MC S90 – article by – Commercial In Solutions – click here.

Becoming Cargo Van Owner-Operator in 2023 – article by Upper Route Planner – click here.