CAF
Category: Logistics
Also searched as: Currency Adjustment Factor
Definition (plain English)
Currency adjustment factor is a surcharge used to offset exchange-rate movement in freight costs.
Why it matters commercially
CAF can create FX exposure between quote, booking, and invoice even when the cargo route is unchanged.
Example
A buyer added CAF exposure to the freight-cost model because the carrier invoiced in a different currency from the sales quote.
Common mistake
Treating the freight quote currency as fixed without checking CAF rules and invoice currency.
Use this in CommerceKit
Currency Exposure & FX Buffer Calculator
Use tool →Freight Cost Per Unit Calculator
Use tool →