Hazardous Materials: Reducing Burdens on Domestic Companies Using Battery-Powered Equipment in Trades
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Abstract
This NPRM proposes to amend the Materials of Trade (MOTs) exceptions to allow for the transportation of increased quantities of lithium batteries. The current MOT exceptions unnecessarily limit the number and size of lithium batteries that can be safely transported by domestic construction, landscaping, mowing, tree service, food service, and entertainment companies in support of performing a trade.
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<title>Federal Register, Volume 90 Issue 124 (Tuesday, July 1, 2025)</title>
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[Federal Register Volume 90, Number 124 (Tuesday, July 1, 2025)]
[Proposed Rules]
[Pages 28578-28581]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-12065]
[[Page 28578]]
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DEPARTMENT OF TRANSPORTATION
Pipeline and Hazardous Materials Safety Administration
49 CFR Part 173
[Docket No. PHMSA-2025-0091 (HM-268C)]
RIN 2137-AG05
Hazardous Materials: Reducing Burdens on Domestic Companies Using
Battery-Powered Equipment in Trades
AGENCY: Pipeline and Hazardous Materials Safety Administration (PHMSA),
Department of Transportation (DOT).
ACTION: Notice of proposed rulemaking (NPRM).
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SUMMARY: This NPRM proposes to amend the Materials of Trade (MOTs)
exceptions to allow for the transportation of increased quantities of
lithium batteries. The current MOT exceptions unnecessarily limit the
number and size of lithium batteries that can be safely transported by
domestic construction, landscaping, mowing, tree service, food service,
and entertainment companies in support of performing a trade.
DATES: Comments must be received on or before September 2, 2025.
ADDRESSES: You may submit comments identified by the Docket Number
PHMSA-2025-0091 using any of the following methods:
E-Gov Web: <a href="https://www.regulations.gov">https://www.regulations.gov</a>. This site allows the public
to enter comments on any Federal Register notice issued by any agency.
Follow the online instructions for submitting comments.
Mail: Docket Management System: U.S. Department of Transportation,
1200 New Jersey Avenue SE, West Building Ground Floor, Room W12-140,
Washington, DC 20590-0001.
Hand Delivery: U.S. DOT Docket Management System: West Building
Ground Floor, Room W12-140, 1200 New Jersey Avenue SE, between 9 a.m.
and 5 p.m., Monday through Friday, except Federal holidays.
Fax: 1-202-493-2251.
Instructions: Please include the docket number PHMSA-2025-0091 at
the beginning of your comments. If you submit your comments by mail,
submit two copies. If you wish to receive confirmation that PHMSA
received your comments, include a self-addressed stamped postcard.
Internet users may submit comments at <a href="https://www.regulations.gov">https://www.regulations.gov</a>.
Note: Comments are posted without changes or edits to <a href="https://www.regulations.gov">https://www.regulations.gov</a>, including any personal information provided.
There is a privacy statement published on <a href="https://www.regulations.gov">https://www.regulations.gov</a>.
Privacy Act: In accordance with 5 U.S.C. 553(c), DOT solicits
comments from the public to inform its rulemaking process. DOT posts
these comments, without edit, including any personal information the
commenter provides, to <a href="https://www.regulations.gov">https://www.regulations.gov</a>, as described in the
system of records notice (DOT/ALL-14 FDMS), which can be reviewed at
<a href="https://www.dot.gov/privacy">https://www.dot.gov/privacy</a>.
Confidential Business Information: Confidential Business
Information (CBI) is commercial or financial information that is both
customarily and actually treated as private by its owner. Under the
Freedom of Information Act (FOIA, 5 U.S.C. 552), CBI is exempt from
public disclosure. It is important that you clearly designate the
comments submitted as CBI if: your comments responsive to this document
contain commercial or financial information that is customarily treated
as private; you actually treat such information as private; and your
comment is relevant or responsive to this notice. You may ask PHMSA to
provide confidential treatment to information you give to the agency by
taking the following steps: (1) mark each page of the original document
submission containing CBI as ``Confidential''; (2) send PHMSA, along
with the original document, a second copy of the original document with
the CBI deleted; and (3) explain why the information that you are
submitting is CBI. Submissions containing CBI should be sent to Steven
Andrews, Standards and Rulemaking Division, Pipeline and Hazardous
Materials Safety Administration (PHMSA), 2nd Floor, 1200 New Jersey
Avenue SE, Washington, DC 20590-0001, or by email at
<a href="/cdn-cgi/l/email-protection#96e5e2f3e0f3f8b8f7f8f2e4f3e1e5d6f2f9e2b8f1f9e0"><span class="__cf_email__" data-cfemail="91e2e5f4e7f4ffbff0fff5e3f4e6e2d1f5fee5bff6fee7">[email protected]</span></a>. Any materials PHMSA receives that is not
specifically designated as CBI will be placed in the public docket.
Docket: For access to the docket to read background documents or
comments received, go to <a href="http://www.regulations.gov">http://www.regulations.gov</a>. Follow the online
instructions for accessing the docket. Alternatively, you may review
the documents in person at the street address listed above.
FOR FURTHER INFORMATION CONTACT: Arthur Pollack, Transportation
Regulations Specialist, 1200 New Jersey Avenue SE, Washington, DC
20590, 202-366-8553, <a href="/cdn-cgi/l/email-protection#0f6e7d7b677a7d217f6063636e6c644f6b607b21686079"><span class="__cf_email__" data-cfemail="1e7f6c6a766b6c306e7172727f7d755e7a716a30797168">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION:
I. General Discussion
This NPRM proposes to revise the Material of Trade (MOTs)
exceptions in Sec. 173.6 to address limitations faced by domestic
companies using lithium battery-powered equipment. PHMSA proposes to
increase the allowable quantities of lithium batteries, including those
contained in equipment transported in support of a business as MOTs.
This proposal addresses a petition for rulemaking submitted by the
Portable Rechargeable Battery Association (PRBA). In the petition (P-
1758),\1\ PRBA asked PHMSA to amend the MOTs exceptions in Sec. 173.6
to distinguish the weight limits for lithium batteries from other Class
9 hazardous materials. PRBA explained that the current MOT quantity
limits impose outdated and overly restrictive requirements on lithium
batteries, making their transportation by companies difficult and
expensive. PRBA further explained that the impact is especially
burdensome for small, family-owned businesses that do not have the
expertise to understand the implications of transporting lithium
batteries outside the provisions of MOTs.
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\1\ P-1758--PRBA (PHMSA-2021-0051), <a href="https://www.regulations.gov/docket/PHMSA-2021-0051">https://www.regulations.gov/docket/PHMSA-2021-0051</a>.
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PHMSA has made a preliminary determination to adopt PRBA's proposed
changes to the MOT exceptions for lithium battery transportation.
PRBA's proposed safeguards--such as preventing short circuits,
protecting against damage from inadvertent shifting, and avoiding
accidental activation--should effectively reduce or eliminate the risk
of hazardous incidents. PHMSA also agrees with PRBA that packages of
batteries weighing more than 30 kg and transported in accordance with
the MOTs exception should have labels and marks similar to those used
for non-MOTs shipments of lithium batteries. Requiring Class 9 labels
and United Nations (UN) identification numbers on packages containing
lithium batteries being transported as MOTs will ensure first
responders and others are aware lithium batteries are present,
providing a level of hazard communication comparable to batteries
transported in non-MOTs shipments. PHMSA is including language to
clarify that lithium batteries used under the MOTs exceptions must have
passed the applicable required tests under Sec. 173.185.
PHMSA has conducted a preliminary economic and determined that the
proposed revisions will not impose any costs to industry. Rather, the
proposed
[[Page 28579]]
changes are expected to reduce costs by providing appropriate
flexibility to regulated parties (e.g., avoided costs associated with
an unnecessary approval application process or use of an outdated
securement method).
For these reasons, PHMSA is proposing to revise paragraph Sec.
173.6 to specifically authorize lithium metal and lithium ion batteries
under the MOTs exception and allow a net weight (i.e., the weight of
the batteries themselves) of 30 kg (66 lbs.) for each lithium ion and
metal battery, a gross weight of 500 kg of lithium batteries on the
vehicle, and no limit for lithium ion and lithium metal batteries when
contained in equipment. PHMSA is also proposing a set of safety
standards for lithium batteries transported under the MOTs exception to
include the prevention of short circuits, damage from shifting, the
accidental activation of the equipment, and ensuring that all lithium
batteries are of a type tested in conformance with the HMR. PHMSA does
not expect that these proposed revisions will any adverse impact on
safety.
II. Regulatory Analysis and Notices
A. Legal Authority
This proposed rule is published under the authority of the
Secretary of Transportation set forth in the Federal Hazardous
Materials Transportation Laws (49 U.S.C. 5101 et seq.) and delegated to
the PHMSA Administrator pursuant to 49 CFR 1.97.
B. Executive Orders 12866; Regulatory Planning and Review
Executive Order (E.O.) 12866 (``Regulatory Planning and
Review''),\2\ as implemented by DOT Order 2100.6B (``Policies and
Procedures for Rulemaking''), requires agencies to regulate in the
``most cost-effective manner,'' to make a ``reasoned determination that
the benefits of the intended regulation justify its costs,'' and to
develop regulations that ``impose the least burden on society.'' DOT
Order 2100.6B specifies that regulations should generally ``not be
issued unless their benefits are expected to exceed their costs.'' In
arriving at those conclusions, E.O. 12866 requires that agencies should
consider ``both quantifiable measures . . . and qualitative measures of
costs and benefits that are difficult to quantify'' and ``maximize net
benefits . . . unless a statute requires another regulatory approach.''
E.O. 12866 also requires that ``agencies should assess all costs and
benefits of available regulatory alternatives, including the
alternative of not regulating.'' DOT Order 2100.6B directs that PHMSA
and other Operating Administrations must generally choose the ``least
costly regulatory alternative that achieves the relevant objectives''
unless required by law or compelling safety need.
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\2\ 58 FR 51735 (Oct. 4, 1993).
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E.O. 12866 and DOT Order 2100.6B also require that PHMSA submit
``significant regulatory actions'' to the Office of Information and
Regulatory Affairs (OIRA) within the Executive Office of the
President's Office of Management and Budget (OMB) for review. This
proposed rule is a not significant regulatory action pursuant to E.O.
12866; it also has not designated this rule as a ``major rule'' as
defined by the Congressional Review Act (5 U.S.C. 801 et seq.).
PHMSA has complied with the requirements in E.O. 12866 as
implemented by DOT Order 2100.6B and made a preliminary determination
that this proposed rule will result in cost savings by reducing
regulatory burdens and regulatory uncertainty for the construction,
landscaping, food, and entertainment industries by distinguishing the
weight limits for lithium batteries from other Class 9 hazardous
materials. PHMSA expects those cost savings will also result in reduced
costs for the public to whom those entities generally transfer a
portion of their compliance costs.
C. Executive Orders 14192 and 14219
This proposed rule, if finalized as proposed, is expected to be an
E.O. 14192 deregulatory action.\3\ PHMSA seeks data that would be
helpful to generate an estimate of the cost savings from this rule.
PHMSA's initial estimates are that the total costs of the rule on the
regulated community will be less than zero. Nor does this proposed rule
does implicate any of the factors identified in section 2(a) of E.O.
14219 indicative of a regulation that is ``unlawful . . . [or] that
undermine[s] the national interest.'' \4\
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\3\ 90 FR 9065 (Jan. 31, 2025).
\4\ 90 FR 10583 (Feb. 19, 2025).
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D. Energy-Related Executive Orders 13211, 14154, and 14156
The President has declared in E.O. 14156 (``Declaring a National
Energy Emergency'') \5\ a national emergency to address the United
States's inadequate energy development production, transportation,
refining, and generation capacity. Similarly, E.O. 14154 (``Unleashing
American Energy'') \6\ asserts a Federal policy to unleash American
energy by ensuing access to abundant supplies of reliable, affordable
energy from (inter alia) the removal of ``undue burden[s]'' on the
identification, development, or use of domestic energy resources. PHMSA
preliminarily finds this proposed rule is consistent with each of E.O.
14156 and E.O. 14154. The proposed rule will give affected entities, in
this case construction, landscaping, mowing, tree service, food, and
entertainment companies, regulatory relief by providing an exception
for lithium battery powered equipment and spare batteries under MOTs.
PHMSA therefore expects the regulatory amendments in this proposed rule
will in turn affect companies' ability to provide services to their
customers at reduced costs in response to residential, commercial, and
industrial demand.
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\5\ 90 FR 8353 (Jan. 29, 2025).
\6\ 90 FR 8353 (Jan. 29, 2025).
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However, this proposed rule is not a ``significant energy action''
under E.O. 13211 (``Actions Concerning Regulations That Significantly
Affect Energy Supply, Distribution, or Use''),\7\ which requires
Federal agencies to prepare a Statement of Energy Effects for any
``significant energy action.'' Because this proposed rule is not a
significant action under E.O. 12866, it will not have a significant
adverse effect on supply, distribution, or energy use; OIRA has
therefore not designated this proposed rule as a significant energy
action.
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\7\ 66 FR 28355 (May 22, 2001).
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E. Executive Order 13132: Federalism
PHMSA analyzed this proposed rule in accordance with the principles
and criteria contained in E.O. 13132 (``Federalism'') \8\ and the
Presidential Memorandum (``Preemption'') published in the Federal
Register on May 22, 2009.\9\ E.O. 13132 requires agencies to assure
meaningful and timely input by State and local officials in the
development of regulatory policies that may have ``substantial direct
effects on the States, on the relationship between the National
Government and the States, or on the distribution of power and
responsibilities among the various levels of government.'' The Federal
Hazardous Materials Transportation laws contain an express preemption
provision at 49 U.S.C. 5125(b) that preempts state, local, and tribal
requirements on certain covered subjects, unless the non-federal
requirements are ``substantively the same'' as the federal
requirements, including the following:
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\8\ 64 FR 43255 (Aug. 10, 1999).
\9\ 74 FR 24693 (May 22, 2009).
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[[Page 28580]]
(1) The designation, description, and classification of hazardous
material;
(2) The packing, repacking, handling, labeling, marking, and
placarding of hazardous material;
(3) The preparation, execution, and use of shipping documents
related to hazardous material and requirements related to the number,
contents, and placement of those documents;
(4) The written notification, recording, and reporting of the
unintentional release in transportation of hazardous material; and
(5) The design, manufacture, fabrication, inspection, marking,
maintenance, recondition, repair, or testing of a packaging or
container represented, marked, certified, or sold as qualified for use
in transporting hazardous material in commerce.
This proposed rule addresses covered subject items in paragraph I
above and would preempt state, local, and Tribal requirements not
meeting the ``substantively the same'' standard. While the proposed
rule may (when finalized) operate to preempt some State requirements,
it would not impose any regulation that has substantial direct effects
on the States, the relationship between the National Government and the
States, or the distribution of power and responsibilities among the
various levels of government. The preemptive effect of the regulatory
amendments in this proposed rule is limited to the minimum level
necessary to achieve the objectives of the Federal Hazardous Materials
Transportation laws. Therefore, the consultation and funding
requirements of E.O. 13132 do not apply.
F. Regulatory Flexibility Act
The Regulatory Flexibility Act (5 U.S.C. 601 et seq.) requires
Federal agencies to conduct an Initial Regulatory Flexibility Analysis
(IRFA) for a proposed rule subject to notice-and-comment rulemaking
under the APA unless the agency head certifies that the proposed rule
in the rulemaking will not have a significant economic impact on a
substantial number of small entities. E.O. 13272 (``Proper
Consideration of Small Entities in Agency Rulemaking'') \10\ obliges
agencies to establish procedures promoting compliance with the
Regulatory Flexibility Act. DOT posts its implementing guidance on a
dedicated web page.\11\ This proposed rule was developed in accordance
with E.O. 13272 and DOT implementing guidance to ensure compliance with
the Regulatory Flexibility Act. The proposed rule is expected to reduce
burdens. Therefore, PHMSA certifies the proposed rule does not have a
significant impact on a substantial number of small entities.
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\10\ 67 FR 53461 (Aug. 16, 2002).
\11\ DOT, ``Rulemaking Requirements Related to Small Entities,''
<a href="https://www.transportation.gov/regulations/">https://www.transportation.gov/regulations/</a> rulemaking-requirements-
concerning-small-entities (last accessed Sept 3, 2024).
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G. Unfunded Mandates Reform Act of 1995
The Unfunded Mandates Reform Act (UMRA, 2 U.S.C. 1501 et seq.)
requires agencies to assess the effects of Federal regulatory actions
on State, local, and Tribal governments, and the private sector. For
any proposed or final rule that includes a Federal mandate that may
result in the expenditure by state, local, and Tribal governments, in
the aggregate of $100 million or more (in 1996 dollars) in any given
year, the agency must prepare, amongst other things, a written
statement that qualitatively and quantitatively assesses the costs and
benefits of the Federal mandate.
This proposed rule does not impose unfunded mandates under UMRA.
PHMSA does not expect the proposed rule will result in costs of $100
million or more (in 1996 dollars) per year for either State, local, or
Tribal governments, or to the private sector.
H. National Environmental Policy Act
The National Environmental Policy Act (NEPA, 42 U.S.C. 4321 et
seq.) requires that Federal agencies assess and consider the impact of
major Federal actions on the human and natural environment.
PHMSA analyzed this proposed rule in accordance with NEPA and has
preliminarily determined that the rulemaking will not adversely affect
safety and therefore will not significantly affect the quality of the
human and natural environment. The public is invited to comment on the
impact of the proposed action.
I. Executive Order 13175
PHMSA analyzed this proposed rule according to the principles and
criteria in E.O. 13175 (``Consultation and Coordination with Indian
Tribal Governments'') \12\ and DOT Order 5301.1A (``Department of
Transportation Tribal Consultation Policies and Procedures''). E.O.
13175 requires agencies to assure meaningful and timely input from
Tribal government representatives in the development of rules that
significantly or uniquely affect Tribal communities by imposing
``substantial direct compliance costs'' or ``substantial direct
effects'' on such communities or the relationship or distribution of
power between the Federal government and Tribes.
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\12\ 65 FR 67249 (Nov. 9, 2000).
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PHMSA assessed the impact of the proposed rule and determined that
it will not significantly or uniquely affect Tribal communities or
Indian Tribal governments. The rulemaking's regulatory amendments have
a broad, national scope; therefore, this proposed rule will not
significantly or uniquely affect Tribal communities, much less impose
substantial compliance costs on Native American Tribal governments or
mandate Tribal action. For these reasons, PHMSA has concluded that the
funding and consultation requirements of E.O. 13175 and DOT Order
5301.1A do not apply.
J. Paperwork Reduction Act
The Paperwork Reduction Act (44 U.S.C. 3501 et seq.) and its
implementing regulations at 5 CFR 1320.8(d) requires that PHMSA provide
interested members of the public and affected agencies with an
opportunity to comment on information collection and recordkeeping
requests. This rulemaking will not create, amend, or rescind any
existing information collections.
K. Executive Order 13609 and International Trade Analysis
E.O. 13609 (``Promoting International Regulatory Cooperation'')
\13\ requires agencies consider whether the impacts associated with
significant variations between domestic and international regulatory
approaches are unnecessary or may impair the ability of American
business to export and compete internationally. In meeting shared
challenges involving health, safety, labor, security, environmental,
and other issues, international regulatory cooperation can identify
approaches that are at least as protective as those that are or would
be adopted in the absence of such cooperation. International regulatory
cooperation can also reduce, eliminate, or prevent unnecessary
differences in regulatory requirements.
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\13\ 77 FR 26413 (May 4, 2012).
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Similarly, the Trade Agreements Act of 1979 (Pub. L. 96-39), as
amended by the Uruguay Round Agreements Act (Pub. L. 103-465),
prohibits Federal agencies from establishing any standards or engaging
in related activities that create unnecessary obstacles to the foreign
commerce of the United States. For purposes of these requirements,
Federal agencies may participate in the establishment of
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international standards, so long as the standards have a legitimate
domestic objective, such as providing for safety, and do not operate to
exclude imports that meet this objective. The statute also requires
consideration of international standards and, where appropriate, that
they be the basis for U.S. standards.
PHMSA engages with international standards setting bodies to
protect the safety of the American public. PHMSA has assessed the
effects of the proposed rule and has determined that its regulatory
amendments will not cause unnecessary obstacles to foreign trade.
L. Cybersecurity and Executive Order 14028
E.O. 14028 (``Improving the Nation's Cybersecurity'') \14\ directed
the Federal government to improve its efforts to identify, deter, and
respond to ``persistent and increasingly sophisticated malicious cyber
campaigns.'' PHMSA has considered the effects of the proposed rule and
has determined that its regulatory amendments would not materially
affect the cybersecurity risk profile for affected entities.
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\14\ 86 FR 26633 (May 17, 2021).
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List of Subjects in 49 CFR Part 173
Hazardous materials transportation, Packaging and containers,
Reporting and recordkeeping requirements.
In consideration of the foregoing, PHMSA proposes to amend 49 CFR
chapter I as follows:
PART 173--SHIPPERS--GENERAL REQUIREMENTS FOR SHIPMENTS AND
PACKAGINGS
0
1. The authority citation for part 173 continues to read as follows:
Authority: 49 U.S.C. 5101-5128, 44701; 49 CFR 1.81, 1.96 and
1.97.
0
2. In Sec. 173.6:
0
a. Add paragraph (a)(7)(iii);
0
b. Add paragraphs (b)(6) and (b)(6)(i), (ii), (iii);
0
c. Revise paragraph (c)(4);
0
d. Add paragraph (c)(5); and
0
e. Revise paragraph (d).
All revisions to read as follows:
Sec. 173.6 Materials of trade exceptions.
(a) * * *
(7) * * *
(iii) Except when the cell or battery is contained in equipment,
lithium cells and batteries may not exceed 30 kg (66 pounds) net weight
for each lithium cell or battery and 500 kg (1102 pounds) aggregate net
weight on a motor vehicle. Lithium cells and batteries, including when
contained in or packed with equipment, must be of the type proven to
meet the criteria in part III, sub-section 38.3 of the UN Manual of
Tests and Criteria (IBR; see Sec. 171.7 of this subchapter).
* * * * *
(b) * * *
(6) Cells and batteries, including cells and batteries contained in
equipment, must be packaged or secured in a manner to prevent:
(i) Short circuits;
(ii) Damage caused by shifting or placement within the package, if
applicable; and
(iii) Accidental activation of the equipment.
* * * * *
(c) * * *
(4) Lithium cells or batteries, including when contained in or
packed with equipment, in packages exceeding 30 kg (66 pounds) net
weight of batteries must be labeled with the lithium battery Class 9
label as specified in Sec. 172.477 and marked with the four-digit UN
identification number, as applicable.
(5) The operator of a motor vehicle that contains a material of
trade must be informed of the presence of the hazardous material
(including whether the package contains a reportable quantity) and must
be informed of the requirements of this section.
(d) Aggregate gross weight. Except for a material of trade
authorized by paragraphs (a)(1)(iii) and (a)(7)(iii) of this section,
the aggregate gross weight of all materials of trade on a motor vehicle
may not exceed 200 kg (440 pounds).
* * * * *
Issued in Washington, DC, on June 26, 2025, under the authority
delegated in 49 CFR 1.97.
Benjamin D. Kochman,
Acting Administrator.
[FR Doc. 2025-12065 Filed 6-27-25; 4:15 pm]
BILLING CODE 4910-60-P
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</html>This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.