RailTrends

Leadership at two Washington, D.C.-based railroad organizations examined some key industry trends and themes at the RailTrends conference in New York.

When looking at the current state of intermodal volumes, a few quick themes jump out, observed Larry Gross, president of Gross Transportation Consulting at the last month’s RailTrends conference in New York.

Oberman described 2022 as a “demanding year” for the STB, due to the pending Canadian Pacific-Kansas City Southern merger, as well as he termed a “service meltdown” by Class I railroad carriers, which he said had been brewing long before the onset of the pandemic.

The session addressed the current freight railroad environment, which has received a fair amount of shipper attention, due to the ongoing rail labor negotiations and service-related issues, among other topics.

While Canadian Pacific Railway’s (CP) acquisition of Kansas City Southern (KCS) is not expected to be made official until the second half of this year, CP said this week that the companies are collaborating on an interline basis, having rolled out what it said is the first dedicated intermodal train. This train runs between Lázaro Cárdenas and the U.S. Midwest. CP officials said that the impetus for this train was driven by the need to avoid...

Late last month, the Surface Transportation Board (STB) provided information regarding its public hearing on proposed reciprocal switching obligations, which is scheduled for March 15-16, and will be held at its Washington, D.C.-based office.

“Anytime the supply chain is on ’60 Minutes' or the front page of the Washington Post, it is probably not because we are doing such a great job. Certainly, intermodal has had a very difficult 2021 so far.” Those were the opening comments made by Larry Gross, president of Gross Transportation Consulting, at the RailTrends conference hosted by Progressive Railroading magazine and independent railroad analyst Tony Hatch last month.

As things have been upended on many fronts over the course of 2020, due to the ongoing COVID-19 pandemic, many trends within the freight railroad sector that were already evident have been accelerated by the pandemic. That was a key takeaway at the virtual RailTrends conference earlier this month, which was hosted by Progressive Railroading Magazine and independent railroad analyst Tony Hatch, from Alan Shaw, Executive Vice President and Chief Marketing Officer for Class I railroad carrier Norfolk Southern.

When describing 2020, at last week’s virtual RailTrends conference, Association of American Railroads (AAR) President and CEO Ian Jefferies called it an odd and challenging year, with some definitive caveats.

The Surface Transportation Board (STB), an independent adjudicatory and economic-regulatory agency charged by Congress with resolving railroad rate and service disputes and reviewing proposed railroad mergers, received some good news, when the United States Senate confirmed Michelle A. Schultz and Robert Primus to serve as STB Board members.

In this webinar our panel will provide a comprehensive update on the current state of the rail/intermodal markets and offer an in-depth look at the pain points shippers have been experiencing, including the recent service challenges, capacity issues and rising rates.

The short line railroad tax credit, known as 45G, may receive a permanent extension based on a tax package released by the House Ways and Means Committee last week. When that happens, though, remains to be seen, as a date for a vote on the bill has not been scheduled yet.

It is no secret that the short line railroad sector would benefit greatly for a tax credit, known in railroad circles as 45G, to become permanent. But there is a question of if that will happen in Congress.

The joint interline service formally rolled out in October by Class I railroad carriers CN and Norfolk Southern appears to be off to a good start so far. That was the word from CN Executive Vice President and Chief Marketing Officer Jean-Jacques Ruest at last week’s RailTrends conference.

Nearly a year into President Trump's term, NAFTA remains intact, but it also comes with various uncertainties as the United States and its NAFTA trade partners, Mexico and Canada, continue negotiations with the future of the trade pact at stake, to be sure.