The slump in U.S. rail volumes is persisting three weeks into the new year.
U.S. rail traffic year-to-date totaled nearly 1.42 million carloads and intermodal units for the week ending Jan. 18, a 7.8% drop compared with the same period in 2019, according to the Association of American Railroads. U.S. rail operations originated 7.4% fewer carloads, at 692,077, while U.S. intermodal units fell 8.1% to 723,293 intermodal containers and trailers.
Overall North American rail volumes year-to-date were 7.2% lower at 1.93 million carloads and intermodal units. Canadian rail traffic slipped 7.2% to 412,161 carloads and intermodal units, while Mexican rail volume was up 0.4% to 102,545 carloads and intermodal units.
Wednesday’s weekly data release comes as the Class I railroads have started to share their expectations for rail volumes in 2020.
Last week, CSX (NASDAQ: CSX) said it expects its merchandise volumes to grow in 2020, with volumes “stronger” in the second half of the year than in the first. Merchandise volumes consist of commodities such as agricultural products, minerals, auto parts and chemicals. CSX also said it anticipates intermodal volumes to “do well” in 2020, including for the first half of the year, now that the railroad has completed rationalizing its lanes.
Meanwhile, Kansas City Southern (NYSE: KSU) said it expects rail volumes and revenue to grow in 2020 amid service improvements and clarity on U.S. trade policy concerning North America.
Brokerage Compliance Symposium
The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
F3 Awards Dinner
The night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
F3: Future of Freight Festival
Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowThe night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowIndustry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now