Multimodal shipping involves coordinating the transportation of goods through various methods, including truck, rail, plane, or ship, under a single contract of carriage. It is similar to intermodal transport, but the key distinction is that in multimodal shipping, one entity, often referred to as the Multimodal Transport Operator (MTO), is responsible for the entire shipment process, managing contracts with other carriers as needed.
While a multimodal shipping arrangement uses only a single operator to streamline the shipping process and helps reduce complexities related to multiple contract management compared to intermodal shipping, it often comes with higher costs. And, unlike the intermodal option, multimodal shipping does not necessarily require the use of standardized containers.