PHMSA Proposes to Ease Regulations

PHMSA Proposes to Ease Regulations on Lithium Batteries as Materials of Trade

It wouldn’t be summer if we didn’t find our ears occasionally assaulted by the noise of a power tool somewhere in the neighborhood – a leaf blower, a lawn mower, a weed trimmer. But nowadays, those sounds are less obtrusive, as equipment running on lithium batteries has started to replace older combustion-engine-powered devices. Not only is this equipment quieter, but it is oftenlighter, more environmentally friendly, and more economical.

But for contractors and other workers using such devices, there’s a catch – lithium batteries are hazardous materials, and normally would have to be packaged, documented, marked, and labeled and even placarded as hazardous. Of course, there’s the handy “Materials of Trade” exception in found in Title 49 of the Code of Federal Regulations (49 CFR) section 173.6. This allows people in the course of their employment to carry reasonable amounts of hazardous materials without special packaging or hazard communication. But these provisions are showing their age, and don’t have any specifics applicable to lithium batteries. They’re simply lumped in as Class 9, Miscellaneous Hazardous Materials, and the size limits there are not necessarily appropriate for today’s devices.

For example, packages and pieces of equipment are currently restricted to no more than 30 kilograms gross to qualify. This makes the transportation of tools of the trade for many small businesses unnecessarily expensive and restrictive. Further, there are no special safety rules for lithium batteries, which are known to present unique dangers in transportation.

PHMSA Proposes a Solution

Seeing that this is a significant issue to their members, the Portable Rechargeable Battery Association (PRBA) has petitioned the Pipelines and Hazardous Materials Safety Administration (PHMSA) for relief. In response, PHMSA has issued a Notice of Proposed Rulemaking titled “Hazardous Materials: Reducing Burdens on Domestic Companies Using Battery-Powered Equipment in Trades,” with the docket identifier HM-268C. Based on preliminary investigation, PHMSA believes this will reduce costs and improve flexibility for regulated parties, while still protecting workers and the public from the known risks of lithium batteries.

Proposals in this NPRM include:

• Requiring lithium cells and batteries to meet the criteria in part III, subsection 38.3 of the UN Manual of Tests and Criteria.
• Removing the weight restrictions for lithium cells or batteries when installed in equipment. Spare batteries not in equipment would still be limited to no more than 30 kilograms (66 pounds) per battery, with an allowed total of 500 kilograms (1102 pounds) aggregate net weight on a motor vehicle. This contrasts with the 200-kilogram aggregate gross weight limit for other types of hazardous materials transported as Materials of Trade.
• Setting requirements to package to avoid short circuits, damage during transport and accidental activation of equipment.
• Requiring lithium cells and batteries (including those in equipment) to be labeled with the lithium battery Class 9 label and the applicable UN number if the weight per package exceeds 30 kilograms.
• Requiring that all operators of motor vehicles carrying Materials of Trade be informed of the presence of the hazardous material (including whether the package contains a reportable quantity) and the applicable Materials of Trade provisions.

Conclusion

This rulemaking could make regulatory compliance cheaper and easier for a variety of industries that send workers on the road carrying lithium battery-powered devices. But will worker and public safety be protected? PHMSA wants your input. If you have any comments on the NPRM, send them to PHMSA on or before September 2, 2025. The regular methods of deliver can be used, such as the E-Gov Web site, regular mail or fax. Include the docket number PHMSA-2025-0090 at the beginning of your comments.

Do you have questions about how to carry Materials of Trade? Need to keep track of upcoming changes that could affect your business? Contact ICC Compliance Center 1-888-442-9628 (U.S.) or 1-888-977-4834 (Canada) if you have questions regarding the regulations in general or need products to help you comply.

Stay up to date and sign up for our newsletter!

We have all the products, services and training you need to ensure your staff is properly trained and informed.

Shipping Dangerous Goods by Ground Training

UN Approved Packaging and Boxes

Lithium Battery Labels

References

U.S. Department of Transportation, “Hazardous Materials Regulations,” Title 49 of the Code of Federal Regulations, Subchapter C, https://www.ecfr.gov/current/title-49/subtitle-B/chapter-I/subchapter-C

Federal Register, Vol. 90, No. 125, July 1, 2025, “Hazardous Materials: Reducing Burdens on Domestic Companies Using Battery-Powered Equipment in Trades (HM-268C),”  https://www.govinfo.gov/content/pkg/FR-2025-07-01/pdf/2025-12065.pdf

United Nations, Manual of Tests and Criteria, Revision 8, https://unece.org/about-manual-tests-and-criteria

U.S. Department of Transportation, Pipelines and Hazardous Materials Safety Administration, “Understanding Materials of Trade,” https://www.phmsa.dot.gov/sites/phmsa.dot.gov/files/2023-05/MOTs-Brochure-0202-0523.pdf