Request for quotation (RFQ)
A request for quotation (RFQ) is an invitation to suppliers — in freight, carriers — to price a defined need: lanes, volumes, equipment and service. The buyer compares the quotes and awards the work. Under US federal rules a quotation is not an offer, so it cannot be accepted to form a contract on its own.
RFQ, tender or RFP
| Request | What comes back | Typical use |
|---|---|---|
| Request for quotation (RFQ) | Quotations — not offers | Simplified acquisition; most freight bids |
| Invitation for bids | Bids | Sealed bidding |
| Request for proposals (RFP) | Proposals | Negotiated contracts, where approach matters |
Public buyers elsewhere use 'tender'. The EU's open procedure lets any interested operator submit a tender, with at least 35 days from the date the contract notice was sent; the UK's Procurement Act 2023 calls its equivalent a single-stage tendering procedure without a restriction on who can submit tenders. A private shipper's freight RFQ follows none of these laws, but the same shape: say exactly what is being bought, let carriers price it, and award on the result.
How a freight RFQ runs
- List each lane with its expected shipments and weights, and say the volumes are estimates.
- Ask for linehaul and accessorial rates together, and for the period they hold.
- Let carriers bid on the lanes they want — GSA does not require a rate for every lane.
- Evaluate on price, or on price with service measures, and award lane by lane.
- Put the awarded rates in a contract or rate confirmation; that, not the quote, is what binds.
Worked example: a government freight RFQ
Estimated 3,000 shipments × about 3,000 lb = about 9,000,000 lb a year · bids open 1 August 2022, close 12 August 2022 · rates valid 1 October 2022 to 30 September 2023, extendable one year · evaluated on price onlyFrom the US General Services Administration's FY2023 request for offers for the Department of State — GSA's name for its freight RFQ. Recurring routes are 'standing route orders': two or more shipments a month between specified points.
The mistake people make
Treating the volumes as a promise, or pricing half the job. GSA's request says its estimates should not be interpreted as a guarantee, and reserves the right to reject rates from carriers that bid line-haul only or accessorials only — a quote missing either half can't be compared with the others, and the missing half is where the surprises sit.
FAQ
Request for quotation (RFQ): common questions
- What is the difference between an RFQ and an RFP?
- An RFQ asks for prices on a defined need; an RFP asks for proposals, where how the supplier will do the work matters as well as the price. In US federal buying, responses to RFQs are quotations and responses to RFPs are proposals.
- Is a freight quote binding?
- Under US federal rules a quotation is not an offer and cannot be accepted to form a contract by itself. In a commercial freight RFQ, what binds is the award and the contract or rate confirmation that follows it.
- What is a freight tender?
- The same exercise under the name common in Europe, the Middle East and India: the shipper invites carriers to price its lanes, then awards the work on the results. In US trucking, 'tender' can also mean offering a single load to a carrier.
Sources
- FAR 2.101, definitions — Acquisition.gov, FAC 2026-01
- FAR Part 13, simplified acquisition procedures — Acquisition.gov, FAC 2026-01
- Directive 2014/24/EU, public procurement — EUR-Lex
- Procurement Act 2023, section 20 — legislation.gov.uk
- FY2023 request for offers, Department of State freight rates — US General Services Administration, 29 July 2022
Related terms
- Reverse auctionTerm
- Freight laneTerm
- Contract rateTerm
- Spot rateTerm
- Rate confirmationTerm
- Routing guideTerm
On Traqo: RFQ & Auctions puts each lane out to your own approved transporters to bid.
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