What is an EDI 108?
The EDI 108 is can be used by a shipper, receiver, or other relevant party to respond to a motor carrier's rate and service proposal.

The 108 electronic document used in the transportation industry. It's part of the ANSI ASC X12 standard for Electronic Data Interchange (EDI) and is specifically used to:

1. Respond to a rate and service proposal from a motor carrier:

A shipper or receiver might receive an EDI 106 (Motor Carrier Rate Proposal) from a carrier outlining their proposed rates and services for transporting goods.

The EDI 108 allows the shipper or receiver to electronically respond to the proposal, accepting, rejecting, or negotiating the terms.

2. Streamline communication and reduce errors:

By using an electronic format, the EDI 108 helps to streamline communication between shippers, receivers, and carriers.

It minimizes the risk of errors caused by manual data entry and ensures accurate and timely communication.

3. An EDI 108 is commonly used by industries that rely heavily on freight transportation, such as:

• Suppliers
• Manufacturers
• Distributors
• Retailers

How is an EDI 108 used?
The EDI 108 is used to communicate acceptance, rejection, or negotiation:

• Acceptance: The shipper or receiver fully accepts the proposed rates and services.
• Rejection: The shipper or receiver rejects the proposal entirely.
• Negotiation: The shipper or receiver expresses interest in the proposal but wants to negotiate specific aspects like price, service options, or delivery times.

An EDI 107 Request for Motor Carrier Rate Proposal is usually exchanged between supply chain partners. Upon receiving an EDI 107 document, the motor carrier drafts a rate proposal for the trading partner, maps the information on the EDI 106 Motor Carrier Rate Proposal, and sends it to the shipper.
 

Sources
Accredited Standards Committee X12. ASC X12 Standard [Table Data]. Data Interchange Standards Association, Inc., Falls Church, VA. http://www.x12.org