Rail News

A rise in US imports is fueling optimism, especially among ocean carriers, but manufacturing’s malaise is tempering hopes for a broader transportation recovery.

Yusen Terminals in Los Angeles is already holding twice its normal inventory of rail containers and is draying some of the boxes to a near-dock storage yard to prevent the backlog from interfering with cargo handling operations.

The chief executives of BNSF and UP argue that while shareholders judge them on financial metrics, it would be a mistake to shun intermodal business simply because its margins are not as good as hauling other types of freight.

Federal conciliators have tried since March 1 to negotiate a deal between Canadian Pacific-Kansas City, Canadian National Railway and the Teamsters rail conference, without success.

The split recommendation from the influential proxy research firm comes one day after Glass Lewis recommended ousting Alan Shaw and COO John Orr.

The endorsement of Glass Lewis for Ancora’s slate of opposition candidates puts the job status of current NS CEO Alan Shaw and COO John Orr in jeopardy.

The intermodal provider has become more aggressive in pricing with shippers this year, jockeying with competitors for market share by lowering contractual rates for a second consecutive year.

Joe Hinrichs warns that focusing on better margins at the expense of intermodal business is short-sighted, defending his decision to extend sick pay leave for labor and arguing that empowering workers is key to delivering better service.

Shippers have long struggled to get direct access to rail milestone data that matches the depth and accuracy of ocean visibility markers.

The cargo flow through the Landers terminal is better than it was earlier this year with fewer drivers experiencing multi-hour delays to pick up or drop off containers at the busy facility, the railroad says.

CSX chief Joe Hinrichs, speaking at the Georgia International Trade Conference, backed the value of intermodal and labor, two things under attack in recent years from activist investors more concerned with competitive margins and other financial metrics.

The railroad and Ancora Holdings have been trading barbs ahead of a May 9 vote by shareholders that could see Ancora oust the railroad’s top executives.

The country’s largest intermodal trucking provider was hit by a see-saw effect in early 2024 as a “dogfight” with truckers in the East balanced import gains in the West. 

Ancora Holdings is trying to unseat Norfolk Southern’s current leadership in part because of mistakes it believes the railroad’s executives have made in the intermodal business.

Shippers of urgent products have shifted volume from the disrupted China-Europe ocean trades to the rails, while some cargo owners are resuming the northern corridor route via Russia.

The railroad also revealed it expects its second-quarter revenue to be impacted by $50 million to $100 million due to the closure of the Port of Baltimore following the collapse of the Francis Scott Key Bridge.

Without a significant increase in EU funding, the ambitious emissions-cutting targets for 2030 and 2050 will be difficult to meet, the coalition told the European Commission this week.

The railroad is gathering information on how to streamline the flow of trucks through terminals ahead of launching an appointment system later this year at three key hubs.

Norfolk Southern will join CSX in running inter-port trains between New York/New Jersey and Baltimore to limit disruptions involving cargo rerouted after the collapse of the Francis Scott Key Bridge.

Elevated dwell times are not just a function of a lack of planning on the part of the railroads, but an inevitability that shippers need to consider for planning processes, writes analyst Larry Gross.

Negotiations between the railroads and the Teamsters have hit a stumbling block over salary and mandatory rest periods, prompting the union to schedule an April 8 start date for voting on a possible strike notice.

Nearby gateways are preparing to handle the diversion of vessels and freight that would have landed at Baltimore at least through May following the port’s indefinite closure.

Given the ample supply of marine chassis available in the US, chassis providers are confident they can handle any rerouted cargo from the closed Port of Baltimore to other East Coast ports in the short term without issue.

Recently passed House legislation amending landmark shipping reform takes a hard approach to China’s maritime influence on US ports but holds back on reining in the limited antitrust exemption container lines use to participate in alliances, writes Executive Editor Mark Szakonyi.

Some of the 18 container ships that were due to arrive at the now-closed Port of Baltimore over the next couple of weeks are now scheduled for new calls at New Jersey, Norfolk and Philadelphia.

Months of strike action by the union severely disrupted Germany’s rail freight network, with the impact on inland transportation often spilling over the country’s borders.

The port is struggling to relieve excessive rail container dwells on its docks caused by an unexpected jump in imports and what some stakeholders say is an inadequate supply of railcars.

The global forwarder is up for sale, and its high level of profitability during an otherwise challenging year for logistics could improve a selling price that analysts have already said could top $20 billion.

The railroads say they are deploying more intermodal railcars to Los Angeles-Long Beach and adjusting their operations so marine terminals can clear out rail containers and reduce dwell times following strong import volumes early this year.

The railroad believes requiring appointments and grounding containers into stacks will improve the flow of trucks through its terminal outside Atlanta.

The port operator has grown its global forwarding footprint to 100 offices, using its network of terminals, warehouses, road and rail to provide greater visibility and control of shipments.

While there is strong communication between motor carriers and railroads in the domestic intermodal market, those links don’t yet exist between railroads and international shippers.

If the Southern California inland point intermodal surge continues into the “danger zone,” then importers might do well to consider taking advantage of alternate routings in the Pacific Northwest and Western Canada, says analyst Larry Gross.

Resolving the free time clock question to bring inland port moves in line with rail moves to major US cities could unleash even more business and take additional trucks off the highway.

Drivers arriving at the Landers terminal have complained about multi-hour delays picking up import containers over the past four months, causing shippers to wait longer for their cargo.

TRAC Intermodal is investing in its fleet and positioning equipment in inland markets that saw the worst chassis shortages in 2021 and 2022, CEO Daniel Walsh told TPM24.

Although the port is losing some intermodal service to the Midwest, demand is surging to core inland cities within the Southeast US.

The railroads say more vessels calling Houston translates into heavier volumes that will help intermodal services from the port gain traction this time.

Simpson will become the first woman to take the top job at J.B. Hunt, something many in the industry expected to happen after she was named president 18 months ago.

The railroad told shareholders in a lengthy proxy statement that CEO Alan Shaw is on the right path and urged investors to trust in his vision for the company rather than vote to replace him.