Intermodal providers

Whether for or against the UP-NS deal, a merged railroad would reshape the Chicago drayage market.

The product, known as Fast Track, is the latest effort by an intermodal carrier to attract customers who depend on precision and dependable service, qualities that railroads have often struggled to deliver.

Daniel Elliott III told a webinar that the proposed $85 billion merger is “leaning more toward approval” because of the White House’s support.

While intermodal savings remain above 20%, according to the latest Intermodal Savings Index, there is not enough pressure yet in the trucking market to drive up rates across the US on intermodal rail.

The railroads will make a harder play to capture Dallas-to-East Coast freight after track upgrades come online along the Gulf Coast early next year.

Recent tensions involved CPKC’s opposition to the UP-NS merger, but the battle has morphed into a larger disagreement about poor service on a 300-mile stretch of track in Louisiana and Mississippi known as the Meridian Speedway.

The largest US intermodal provider’s relationships with competing eastern railroads Norfolk Southern and CSX are shifting and will continue evolving through 2026 as the proposed merger between NS and UP winds its way through the regulatory process.

Union Pacific’s application seeking federal approval to acquire Norfolk Southern will be 4,000 pages long and provide the first detailed look at how the railroads believe customers would benefit from the $85 billion deal.

Carriers continue to struggle to raise rates on intermodal shippers, resulting in revenue gains or losses based solely on volume.

J.B. Hunt lowered its peak season surcharge because of disappointing volume on the West Coast.

The overhaul marks the latest in a series of network shakeups among North American railroads competing for international intermodal freight.

The start-and-stop nature of the Trump administration’s tariffs means changes are coming at a pace that exceeds the supply chains’ ability to react, writes Larry Gross.

The Class I railroad says the real entity behind the complaint is Norfolk Southern’s merger partner Union Pacific, which CPKC says has been delivering trains too long to safely operate.

But Union Pacific’s Jim Vena says the cooperation agreements that rival railroads are making to compete with a combined UP-NS don’t yield the same benefits as a merger.

The move by CSX to relieve Joe Hinrichs of his duties comes after Ancora Holdings urged the railroad’s board of directors to seek a merger with BNSF Railway or Canadian Pacific Kansas City in response to the UP-NS deal.

The proposed creation of a transcontinental railroad could allow West Coast ports to better compete for Asia cargo destined for markers east of Chicago, writes Executive Editor Mark Szakonyi.

The about-face from SMART-TD, which had initially opposed the $85 billion transaction over fears of job losses, makes regulatory approval of the merger far more likely.

The takeover will add the UK’s largest maritime intermodal service provider to the carrier’s rapidly expanding logistics portfolio.

The potential merger partners plan to replace drayage trucking legs with direct rail service as Class I railroads join to redraw North America’s intermodal map.

Completing the Howard Street Tunnel and Blue Ridge Subdivision projects will allow CSX to restore service — and better compete with trucking — on two major north-south corridors in the eastern US.

The two Class I railroads will collaborate on a service to replace the trucking leg for goods moving from CN’s Memphis terminal to the Music City.

Railroads are expanding services between Mexico and the US, while Canada–US intermodal container traffic is down by double-digit percentages, writes rail analyst Larry Gross.

Knight-Swift already partners with both UP and NS, so a combined transcontinental railroad would fit nicely into its existing service for shippers.

The opening of the first phase of the port’s new on-dock rail yard will be delayed until next year, while the project faces a 42% increase in budgeted costs.

Domestic intermodal volumes have been stagnant on partner BNSF Railway out of Los Angeles, likely dulling the justification for the original $1,500 fee.

The latest Intermodal Service Scorecard from the Journal of Commerce marks a major boost in confidence that railroads can deliver reliable intermodal service only a few years after historic disruption gridlocked rail networks across North America amid pandemic-linked chaos.

Union Pacific Railroad is instituting surcharges for the second consecutive year out of Los Angeles, although it’s unclear how long the current uptick in volume will last.

The latest data from the Intermodal Association of North America shows how railroads have lost US business to over-the-road trucking, writes analyst Larry Gross.

Shippers stand to benefit on lanes where both western US railroads are vying for market share.

While the intermodal piece of the Union Pacific-Norfolk Southern deal could face some obstacles, UP CEO Jim Vena and his team have shown a willingness to try new approaches in growing their intermodal franchise, writes Ted Prince.

Union Pacific said the acquisition of its smaller rival would improve service by reducing interchanges while taking market share from Canada’s Class I railroads and the truckload market.

Any tie-up between the two railroads would be classified as a “major transaction” under US Surface Transportation Board regulations and subject to a rigorous review that could take two to three years.

The $51.8 million cash deal includes Marten’s physical assets and the transfer of its existing contracts with food and beverage shippers.

But other Class I railroads will likely be vocal in their opposition to any deal and look to rally support from shippers to block the move, setting the stage for a contentious regulatory battle.

The agreement clears the way for BNSF to move cargo from Los Angeles, Long Beach and Oakland to Salt Lake City for ocean carriers CMA CGM and Mediterranean Shipping Co.

Some customers and competitors were surprised by the timing of the surcharges, which are typically implemented in August or September, if at all, and only after volume spikes.

The journey time, about two to three days better than typical industry metrics, comes despite congestion in other parts of partner CPKC’s network.

Still, analyst Larry Gross suspects that the early strength seen in the first half of the year is substantially composed of volume that has been “borrowed” from a peak season that will be “late and tepid” as a result.

The routing impasse between the railroads threatens supply chain disruptions for ocean carrier CMA CGM, which has cargo booked on the service that is due to begin later this week.

Loup Logistics provides direct access to nearly 80,000 rail-owned containers across North America, significantly expanding UP’s transloading options.