Railroads continue to play a significant role in North America’s economic infrastructure. According to the U.S. Department of Transportation Federal Railroad Administration, the U.S. rail freight network covers almost 140,000 route miles and is generally considered the largest, safest, and most cost-efficient freight system in the world. In addition, says the FRA, the almost $80 billion rail freight industry creates more than 167,000 jobs across the country.
In essence, rail freight companies charge businesses to carry cargo across their network of rails. Their rates are overseen by the Surface Transportation Board, a federal agency that regulates financial aspects of surface transportation. Major railroads in North America include Union Pacific Railroad, BNSF Railway, CSX, Norfolk Southern, Canadian Pacific Kansas City and Canadian National Railway.
Keep up with the latest news, trends and reports concerning rail freight transport here!
APM Terminals reached a deal with the longshore union at the Port of Los Angeles to retrain dock workers in repairing the automated cargo handling equipment that will take their jobs. The deal further paves the way for the Maersk subsidiary to start a project to install electrical charging stations and to make other upgrades […]
“You’ve heard me say this many, many times – we’re not going to use the lack of volume as an excuse not to make aggressive achievements on our productivity,” Union Pacific chief financial officer Rob Knight said.
Heat wave spreading across dozens of states
Union Pacific set an all-time record for its operating ratio in the second quarter despite lower freight volumes and a decline in freight revenue.
The South Carolina Port Authority (SCPA) said ocean container moves were up 9 percent in its fiscal year, setting a volume record for the port. The Port of Charleston’s two main container terminals, Wando Welch and North Charleston, saw 2.4 million twenty-foot equivalent units (TEU) in container moves last year. The region’s freight moves represent […]
Sudden surge in marine fuel costs could spur shippers to consider switch to California over Panama Canal route.
North Dakota filed a petition on the afternoon of July 17 asking the federal government to block the state of Washington from enforcing a law that would restrict crude oil-by-rail shipments that pass through that state. Supporters say the law would reduce the risk of explosions and potentially fatal derailments. Opponents say it prevents North […]
The continued decline of U.S. rail volumes was one of the themes mentioned in the second quarter earnings calls for CSX and Canadian Pacific.
Norfolk Southern and Union Pacific are modifying some of the ways they collect demurrage and accessorial charges for some commodities, but some shippers are questioning the modifications.
“The present economic backdrop is one of the most puzzling I have experienced in my career..”
Despite a drop in profit in the second quarter, CSX’s (NYSE: CSX) operating ratio set a company record.
Canadian Pacific’s (NYSE: CP) is willing to cut costs in the second half of 2019 should macroeconomic factors put pressure on demand for rail service.
Canadian Pacific’s (NYSE: CP) second quarter net income rose 66 percent amid a 13 percent increase in company revenue, the railroad reported on July 15. CP’s financials are reported in Canadian dollars, except for earnings per share.
Jordan Alliger rated UPS, FedEx, and J.B. Hunt ‘Buy’; XPO and C.H. Robinson ‘Neutral’; and Expeditors ‘Sell.’
In the wake of Hurricane Barry, Brian Aoaeh writes about the disruption to supply chains that hurricanes and flooding can do. In particular, the state of Louisiana and its ports are critical to the U.S. agriculture and energy industries.
Jim Blaze writes about earnings season for the railroads, and what investors, customers and employees should be looking and asking for in the railroads’ quarterly earnings reports.
While operational efficiencies get the credit for a freight railroad’s improved operating ratio, other factors, such as changes in fuel prices and increases in freight rates, play significant roles according to a research paper by a law firm representing shippers in Canada.
The Port of New Orleans has reopened after Tropical Storm Barry swept through the region, although officials still stress dangerous flooding conditions for area residents.
Hurricane Barry made landfall in Louisiana on July 13, and as it did, it caused disruption to travel and cargo movement in the region.
Bascome Majors says contract rates will be under downward pressure for the rest of the year, but spot rates may have already turned up.
