CN, the Mississippi State Port of Authority at Gulfport and Ports America have signed a memorandum of understanding that will enable the Canadian railway to provide a new intermodal service at the Port of Gulfport.
A trial run of the new service “will launch in the coming weeks,” CN said Wednesday.
The new service comes as CN (NYSE: CNI) and other Class I railroads have been seeking to beef up their intermodal options amid efforts to take market share from trucks. J.B. Hunt Transport Services and BNSF Railway announced Tuesday the launch of Quantum, a premium intermodal offering ensuring improved delivery times with consistent service. CN also previously announced expanded intermodal service offerings, one with Union Pacific and Grupo Mexico and another with Norfolk Southern.
(RELATED: Will Class 1 railroads collaborate in order to take market share from trucks?)
The new intermodal offerings come following the April formation of Canadian Pacific Kansas City, itself a merger between smaller Class I railroads Canadian Pacific and Kansas City Southern.
According to the Mississippi Department of Transportation, the Port of Gulfport is currently serviced by CPKC. The port specializes in refrigerated and large container storage and shipments; break bulk shipments; foreign trade; warehousing for bulk, break bulk and containerized cargo; stuffing; stripping; and consolidation and deconsolidation needs.
The new service “will provide shippers with new Ocean connectivity options to move goods between the Gulf Coast, US Midwest and Canada. By working collaboratively with partners, CN will continue to maximize the use of its capacity in its southern network to accelerate sustainable, profitable growth,” Dan Bresolin, CN vice president of intermodal, said in the Wednesday news release.
Ports America COO Rob Kusciel said, “This agreement is a great source of pride for us at Ports America. By leveraging CN’s incredible reach and network into different points in North America, we will be offering our customers direct access to new markets and opportunities for business. This represents a significant step forward in our commitment to delivering world-class service to our customers and creating value for our stakeholders.”
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