Stay updated with our rail transport news and trends. Journal of Commerce covers intermodal news, and port connectivity news in the container rail transport sector.

<div class="phx-topic abstract-wrapper">Escanaba &amp; Northern To Buy C&amp;NW TrackCHICAGO - Chicago and North Western Transportation Co. </div>

Escanaba & Northern To Buy C&NW TrackCHICAGO - Chicago and North Western Transportation Co.

<div class="phx-topic">Escanaba &amp; NorthernTo Buy C&amp;NW TrackCHICAGO - Chicago and North Western Transportation Co. announced that Escanaba &amp; Northern Railroad Corp. has agreed to purchase about 320 miles of North Western trackage and related facilities for $66 million.Besides the track and related equipment located in Wisconsin and the upper peninsula of Michigan, the sale includes acquisition of 10 miles of trackage rights, C&amp;NW said.E&amp;N will also assume approximately $8 million of C&amp;NW debt and will pay additional amounts for certain inventory not included in the sale price. The sale will close June 20, 1987.Pickup Driver HurtIn Collision With TrainBORON, Calif. - A pickup trying to race a Sante Fe-Southern Pacific train to a crossing collided with a flatcar and was knocked into another Sante Fe train at the Boron spur and Twenty Mule Team Road, officials said.The pickup driver, Richard Livingston of Boron, was pinned under a car of the second Santa Fe train Sunday, but firefighters freed him. He reportedly sustained only moderate injuries, according to the Kern County Fire Department.Man Struck by TrainIn New Rochelle, NYNEW ROCHELLE, N.Y. - A 24-year-old man was struck by an Amtrak train on the tracks at New Rochelle and lost part of his ear, authorities said.Patricia Luden, a Metro North spokeswoman, said an Amtrak train hit the man at 5:26 a.m. Tuesday. He was taken to New Rochelle Hospital where he was listed in stable condition, a hospital administrator said.The man, who was not immediately identified, apparently tried to killhimself, Ms. Luden said.Power on one of the four tracks between Larchmont and New Rochelle was shut off for about an hour, according to Ms. Luden. All trains were reported running on time 15 minutes later, she said.</div>

Rail News

RAIL BRIEFS

<div class="phx-topic abstract-wrapper">Strength in grain and chemical loadings in the first quarter of this year led rail traffic through t</div>

Strength in grain and chemical loadings in the first quarter of this year led rail traffic through t

<div class="phx-topic">Strength in grain and chemical loadings in the first quarter of this year led rail traffic through the doldrums of slow overall economic growth, said a monthly report by Data Resources Inc.The surge in grain movements, up 43 percent year-to-year in April and early May, is boosting total 1987 carloadings to an increase that may approach 1 percent, despite weakness in coal and motor vehicles, the Lexington, Mass.- based forecasting firm said.The economy as a whole is locked into a slow-growth straightjacket for 1987, with the gross national product set to rise between 2.4 percent and 3.1 percent, said Data Resources.The analysts see stable domestic spending and solid export performance this year with a slowing in the annual pace of goods consumption to 1.2 percent between 1987 and 1989. Since much of the production strength for the period will be in bulk markets such as chemicals and paper which create transportation demand, traffic should follow the same slow and steady track, the report noted.Second quarter traffic will be relatively weak as producers compensate for high inventories, but activity should bounce back through the rest of 1987 and on into next year, DRI said.The growth in chemical movements gave rail its strongest overall market in March with all five major systems reporting year-to-year gains.Chemical loadings hit 6 percent growth levels in both Eastern and Western regions, reaching their highest seasonal levels since 1981 in February and March, Data Resources said. The traffic is expected to enjoy continued growth in the 2 percent to 4 percent range through the year and into 1988.The strength of chemical production, which has risen at an annualized rate of 12.2 percent in the first quarter, is due to a decrease in exports rather than an increase which has raised domestic market share, said DRI.Rising exports of synthetic products have played a role in chemical traffic, however, the report said, with production growing at strong annualized rates reaching 23.7 percent in the first quarter of the year. Over half the products are destined for the textile, apparel, paper and plastics industries.Projections for motor vehicles and parts are far less rosy with a 5.8 percent drop forecast for this year and only a 0.1 percent recovery seen in 1988.The analysts predict domestic sales will remain near the annualized April level of between 7.5 million and 7.6 million units with total sales of 10.6 million for the year.But with the cooling of returns from last year's incentive programs and tax-driven sales at the end of 1986, inventories remain high, the report noted.Stocks are highest in the mid-size and full-size models where sales are down 16 percent from a year ago while those of compacts and sub-compacts have fallen only 2 percent. The analysts conclude that significant production cuts are unlikely for the smaller models but that the intermediate and luxury lines will be vulnerable.Last year, rail traffic in finished vehicles rose 4.7 percent to continue its pace above domestic sales which reached 2.3 percent, according to Association of American Railroads statistics.Tonnage gains in the East of 7.5 percent compensated for a loss of 1.3 percent in the West where traffic through Pacific ports suffered from declining Japanese auto imports. In motor vehicle parts and accessories, the situation was reversed, however, with Eastern tonnage dropping 10 percent while Western tonnage rose 5.1 percent.DRI said the Western figure may be overstated as the result of changes by some railroads in coding of intermodal traffic, although outsourcing by domestic plants is stimulating traffic as parts move from Pacific ports to auto plants.Just-in-time inventory procedures may be hurting auto parts tonnage, DRI noted, as smaller, more frequent shipments favor truck over rail.</div>

GRAIN, CHEMICALS BOOST RAIL TRAFFIC

<div class="phx-topic abstract-wrapper">The Supreme Court Tuesday refused to review a lower court ruling that bars Milwaukee Road shareholde</div>

The Supreme Court Tuesday refused to review a lower court ruling that bars Milwaukee Road shareholde

<div class="phx-topic">The Supreme Court Tuesday refused to review a lower court ruling that bars Milwaukee Road shareholders from seeking $210 million in U.S. Claims Court.The case - Chicago, Milwaukee, St. Paul and Pacific Railroad Co. vs. United States of America and Interstate Commerce Commission - stems from the 1977 reorganization petition filed by the railroad.The carrier objected to the sale of its core rail assets in 1985 to the Soo Line Railroad Co. for $210 million less than the Chicago North Western Transportation Co. offered to pay.The reorganization court's decision to allow the sale to Soo was opposed by the Milwaukee Road, its trustee, creditors and shareholders. They took the case to the 7th Circuit U.S. Court of Appeals.The Milwaukee Road based its case on the fact that the Staggers Rail Act of 1980 amended the law under which the Milwaukee Road was reorganized to make clear that nothing would limit the right of a court of claims case under the Tucker Act.The Tucker Act provides that claims against the United States that include the taking of property without just compensation may be brought in the claims court.</div>

HIGH COURT REJECTS MILWAUKEE ROAD BID

<div class="phx-topic abstract-wrapper">Regional and short-line railroads have established a new lobby group to represent them before Congress.</div>

Regional and short-line railroads have established a new lobby group to represent them before Congress.

<div class="phx-topic">Regional and short-line railroads have established a new lobby group to represent them before Congress.Their action ensures there will be at least one more player in the upcoming congressional debate on several issues of major importance to their segment of the industry. The group, the Regional Railroads of America, was formed last month and has a membership of 29 Class II or III carriers.The group intends to lobby Congress on issues with a direct impact on their operating costs, including labor protection in line sales, secondary boycotts, railroad retirement and regulatory reform.David Hughes of the Bangor &amp; Aroostook Railroad said that formal positions have not yet been taken on all those issues but the new lobby definitely will fight the labor protection requirement.The legislative effort to require the Interstate Commerce Commission to impose labor protective conditions on line sales to short lines will be one of the most controversial rail issues before Congress this year.Attempts were made to attach the provision to last year's Conrail sale legislation but it failed, primarily due to vehement Senate opposition.But House Democrats have promised to make the bill a major issue in the 100th Congress.Such action could create major problems for the development of regional railroads, Mr. Hughes said, since it would substantially increase the cost of creating them and cut their competitive advantage.Because of the lower cost structure of many of the newer railroads, and our proximity to our customers, we have the potential to operate profitably on the same lines that were money-losers for the large Class I railroads, he said.The new carrier are a very positive alternative to rail line abandonment, often the only alternative to a line sale, he explained.The resurrection of the Interstate Commerce Commission's controls over railroad rates seems to be the most controversial of the three other issues that the new group may pursue, Mr. Hughes indicated.Reductions in the rate freedoms are being pushed by coal and other interests on grounds the industry is using them as a means of rate gouging.The new lobby has not yet taken a formal position on the matter but Mr. Hughes explained his own stand on the issue.Small railroads are like the rest of America's small businesses, with all their potential for job creation and economic growth, he said.Yet small railroads can't grow and flourish in a legal and economic framework that was shaped for a time when railroads were monopolies, he said.The group also intends to circulate information about regional railroads and the services they provide to the public.Although the general public is aware of large railroads and what they do, Mr. Hughes said, they are unaware of the function played by smaller lines.</div>

New Rail Lobby Group is Formed

Subscribe today and save 20%
Use code STSW20 at checkout
Valid for first year of subscription

Subscribe Now - Free Trials - Wide Box

SUBSCRIBE AND SAVE

Subscribe Now - Anonymous - Wide Box

SUBSCRIBE TODAY

Access Journal of Commerce content for 30 days.

Free Trial - Wide Box

START A FREE TRIAL TODAY

Upgrade to Gold today for just $795
Use code GUW695 at checkout
Valid for first year of subscription

Upgrade Subscription - Wide Box

UPGRADE TODAY AND SAVE

Register today to redeem your Gold subscriber discount!

TPM Discount - Gold

Save 20% on TPM25

The world of LTL is slow to embrace change. Business anachronisms permeate current supply chain processes. These vestiges of the way things used to work define the LTL freight transportation procurement process of many modern shippers.David Knuth, logistics specialist at IEWC, a global supplier of cable and wire based in Wisconsin, is happy to have modernized the RFP process, automating the entire LTL bidding procedure with Bid$ense, SMC³’s automated truckload and LTL freight transportation sourcing solution. But when prompted, he can still recall what once was.In his previous job, a large part of his duties were consumed by creating an intermodal bid package for carriers. In a spreadsheet, Knuth detailed the company’s volumes lane by lane, taking care to delete any errant keystrokes or misleading data. He would then email out the information to each carrier, taking time to respond to detailed technical questions about the spreadsheet data. Finally, he had to compile all the results, create an algorithm that would compare the carriers on each lane, and award the business.“It was a huge undertaking. It took about four months to do,” Knuth said of the old process. “It was almost a full-time job for that part of the year, every year.”In his new job at IEWC, he sat down with Bid$ense on day one and was amazed at the capabilities. Knuth had never before used a bid tool. SMC³’s latest versions of Bid$ense automate the process even further, taking truckload and LTL RFPs entirely online. The tool draws on RFP best-practices protocols to streamline the bidding communication process, enabling bidding carriers to respond accurately and promptly to shipper requests. The solution also does all the distribution work automatically, electronically submitting shipper bid data to carriers based on their actual service capabilities and performance records. Carriers are alerted with timely prompts for RFP deliverables, so shippers aren’t waiting by the phone for responses.Another benefit of automating the process is the data-cleansing assistance. When Knuth sent spreadsheets to carriers, data errors might cloud the bidding process; he might have to resend data or simply accept a price that did not truly reflect the costs of doing business. Data cleansing is incredibly beneficial, he said.The spreadsheet technique also made bidding analysis an onerous task. Since Bid$ense automates and streamlines the entire RFP process, intensive examination is now simple. SMC³ knows that each bid has more than one best outcome. With uniform responses from each carrier, shippers can quickly rank results and create an unlimited quantity of what-if scenarios to make the optimal procurement decision.Jesse Burnett of Central Garden &amp; Pet experiences many of the same benefits. Founded in 1980, Central Garden &amp; Pet has spent the last three decades growing from a small garden supply company to a provider of a range of products from dog chews and bird seed to soil supplements and natural insecticides. For much of its life, the company shipped these disparate goods via LTL and truckload carriers to retailers throughout the country, relying on each business unit to negotiate directly with their freight transportation providers. This arrangement worked fairly well for a small company, but as Central Garden &amp; Pet expanded, leadership decided to consolidate decision making.Burnett helped centralize the transportation decision making in 2015 with SMC³’s Bid$ense. Before Bid$ense, every business unit operated independently as far as negotiating with carriers.“There were a lot of different things just floating around,” he said. “We didn’t have master agreements in place; no national pricing at all. The pricing from carriers was just all over the place, depending on where you were.”The transformations he saw with Bid$ense were immediate. Burnett has been using the tool about every other year since its implementation at the company. Central Garden and Pet’s $19.6 million 2019 LTL bid saved the company just more than 9 percent when compared to its historical average. For Burnett, though, bid automation extends far beyond savings.“We knew that we weren’t getting the best pricing offer from our carriers just because nothing was centralized,” he continued. “We knew that if we combined everything from all these business units and paired it with one corporate offering, then it would drive some cost benefit with it.”When the company initially decided to centralize bid procurement, executives researched a number of different methodologies and technologies. In the end, though, Burnett found that Bid$ense was both widespread and well known, and that his carrier partners already knew how to use the application. Burnett also highlighted the data-cleansing process as a major benefit, saying the rigorous process ensures that carriers always return the best price.“It definitely has helped drive savings,” he said. “Any time you go out there and you drive that competitiveness with the carriers and they know they’re in a bid environment, it seems to sharpen their pencils.”Transportation procurement is an integral part of the modern supply chain. With Bid$ense, shippers can develop a strategic implementation plan that saves them time and money, but also helps them create strong relationships with their carrier partners. These carriers appreciate the solution’s data-cleansing process; when carriers receive a complete shipment history and future volume forecast, they don’t have to guess on pricing. Carriers that receive more data from shippers get a complete picture of that shipper’s freight, allowing them to accurately plan instead of simply preparing for the worst-case scenario. Clean data presented through an automated system can lead to both bigger shipment savings and a lasting partnership between carrier and customer.Whether customers are looking to streamline over-the-road transportation bidding by automating the RFP process or create an entirely new, centralized sourcing process, Bid$ense has the analytical horsepower to get the job done.SMC³ 2020 Customer Case Study

SMC3rates_shutterstock_5247046.jpg

Shippers save money, time with automated transportation bidding tools

SSA Marine Mexico has made significant strides in modernizing its infrastructure at the Port of Manzanillo, investing $15 million to enhance operational efficiency and sustainability at its facilities. This move is part of the company's broader strategy to remain at the forefront of the shipping and logistics industry. •	Strengthening Sustainability with Advanced Technology <figure class="joc_admin__inline-image-position-left joc_admin__inline-image-size-medium" data-figure-size="medium" data-figure-position="left"><img src="/content-assets/1730488295264_Cranes%20arrival%20to%20TEC%20I.png" alt="Cranes arrival to TEC I" class="joc_admin__inline-image-inherit"></figure> In July, SSA Marine Mexico added seven state-of-the-art E-RTG (Electric Rubber-Tired Gantry) cranes to its fleet, valued at $14 million. These advanced cranes were distributed across its two terminals: four cranes were assigned to the Multipurpose Terminal, and three to the Specialized Container Terminal I. What sets these cranes apart is their dual-operation capability, allowing them to function either on electric power or diesel fuel. This innovation plays a critical role in reducing the environmental impact of operations, contributing to a 7% increase in energy efficiency. This efficiency improvement is equivalent to eliminating nearly 4,000 tons of CO2 emissions annually, underscoring SSA Marine Mexico's commitment to sustainability. Through this acquisition, SSA Marine Mexico not only enhances its cargo-handling capabilities but also reinforces its leadership in integrating cutting-edge, eco-friendly technology in the maritime industry. The company continues to push the boundaries of efficiency and sustainability, ensuring long-term value for both its customers and the environment. •	Upgraded Facilities to Meet Growing Demand <figure class="joc_admin__inline-image-position-left joc_admin__inline-image-size-medium" data-figure-size="medium" data-figure-position="left"><img src="/content-assets/1730488350634_Multipurpose%20terminal.png" alt="Multipurpose Terminal" class="joc_admin__inline-image-inherit"></figure> In addition to the new cranes, SSA Marine Mexico has completed crucial modernization and repair work across its Multipurpose Terminal and Specialized Facility at the Port of Manzanillo. This $1 million investment targeted critical infrastructure enhancements, focusing on both structural integrity and operational functionality. Key improvements included leveling approximately 12,000 square meters in the dock area, along with the removal of outdated concrete curbs and asphalt layers. The upgraded space now features high-resistance pavers designed to optimize water drainage and prevent pooling, ensuring safer and more efficient operations. Moreover, the Specialized Facility saw significant upgrades, including the leveling of key warehouse areas to facilitate smoother cargo handling processes. These infrastructure improvements directly enhance the handling of TEUS (Twenty-foot Equivalent Unit containers), further demonstrating SSA Marine Mexico's unwavering commitment to continuous modernization, operational safety, and efficiency. With these initiatives, SSA Marine Mexico is well-positioned to meet the growing demands of the global shipping industry while setting new standards in sustainable port operations. LINK:<a href="https://www.ssamarine.mx/ssa-ing/index" rel="noreferrer" class="joc_admin__link"> https://www.ssamarine.mx/ssa-ing/index</a>

Cranes arrival to TEC I.png

Maritime

SSA Marine Mexico Modernizes Facilities with $15 Million Investment 

If there’s one immutable truth in the world of logistics, it’s this: LTL is an inherently complex form of transportation. Tariffs, rates, DIM weights, transit times — it’s enough to confuse even seasoned logistics professionals. The solution to this knowledge gap has historically been on-the-job training or university supply chain education, but for a variety of reasons there is now a pressing need for third-party, remote LTL training that prepares logistics workers for transportation success. Global Scope Can Overlook Local Intricacies In the past, professionals looking to move into a supply chain career learned about the basics of supply chain from universities. However, many of these college supply chain programs are now global in scope, focusing on worldwide supply chain management instead of the intricacies of specialized domestic transportation. And even these programs, which used to be widespread, are becoming less common. LTL is not an industry of broad-brush strokes; supply chain professionals really need a pointillistic understanding of the logistics of LTL in order to excel in the industry. Accelerating Need for Dedicated LTL Education This lack of specified training put the onus on employers to prepare new hires with the LTL knowledge needed to do their jobs. Dedicated LTL study is a necessity, not a luxury. At the same time, changes in LTL and the broader supply chain world are accelerating. The reliance on e-commerce has ballooned since the start of the pandemic, and last-mile LTL shipments and related e-commerce strains on the supply chain won’t diminish once social distancing abates. That genie isn’t going back into the bottle. So supply chain employers need logistics workers that are fully versed in all aspects of the industry, ready to solve unique shipping and delivery problems based on their extensive supply chain knowledge But why care about LTL? It’s been reported that some shippers in today’s world are no longer concerned with what mode is used to ship their goods. A Multimodal Approach Ensures On-Time Delivery This mode agnosticism means supply chain stakeholders have to be well versed in all modes of transportation. As unforeseen weather events and other disruptions, such as protests, become more common, savvy logistics employees will need to be armed with familiarity of all modes, not just the most popular, to ensure that freight is delivered on time, without damage, and in the most financially expedient way possible. Offerings like SMC³’s LTL online education courses cover a wide range of topics from LTL basics and operations to more advanced concepts like pricing analytics and transportation law. The company also has plans to continually refresh content, adding new expert presenters and taking the feedback of students to make the courses even better as time goes on. Learn more about&nbsp;<a href="https://logisticstrainingcenter.com/smc3-courses/" rel="noreferrer" class="joc_admin__link">SMC³’s LTL Online Education program</a>&nbsp;and view the 2021 hybrid schedule, featuring live industry experts,&nbsp;<a href="https://www.smc3.com/onlinelearning2021/" rel="noreferrer" class="joc_admin__link">here.</a>

SMC3rates_shutterstock_5247046 (1).jpg

Filling the Supply Chain Education Gap with LTL Education Courses

SUBSCRIBE TODAY: Choose a plan that fits your needs

Subscribe Now - Anonymous - Offer Box

Subscribe Today

START A FREE TRIAL: Access Journal of Commerce content for 30 days

Free Trial - Offer Box

Free Trial

SUBSCRIBE AND SAVE: Use code STSW20 and save 25% on annual subscription!


Subscribe Now - Free Trials - Offer Box

UPGRADE TODAY AND SAVE: Use code GUW795 and upgrade to a Gold subscription today for just $795!

Upgrade Subscription - Offer Box

Upgrade Subscription

20% OFF ON TPM25: Register today and redeem your Gold subscriber discount!

TPM Discount - Gold 

20% OFF ON TPM25

The premier conference for the global container shipping and supply chain community

TPM Conference - Rectangle Box

Attend TPM25

A premium access outlook critical to shippers and transportation providers

QI Report - Rectangle Box

Quarterly Intelligence

An in-depth analysis of transport trends in the multipurpose and heavy-lift fleet segment

Breakbulk Report - Rectangle Box

Breakbulk Quarterly

A premium access index of savings using domestic intermodal vs. OTR 

ISI Report - Rectangle Box

Intermodal Savings Index

Customers scoring their intermodal partners to identify the best service providers

Intermodal Service Scorecard - Rectangle Box

Intermodal Service Scorecard

An extensive dashboard of charts organized by trade lane, mode, and topic

Gateway - Rectangle Box

Gateway

The only editorially independent conference for the breakbulk & project cargo industry

Breakbulk Conference - Rectangle Box

Attend Breakbulk25

The Journal of Commerce’s analysis and coverage of North American and global rail news encompasses Class I railroad, intermodal marketing providers, and supporting drayage and truckload services. Reporting on freight railroad news today, journalists track volume, intermodal freight rates, service levels, precision schedule railroading, transloading, regulation, union labor and network investment at domestic and international intermodal terminals.

North-American rail

International rail

Intermodal providers

Rail News | Journal of Commerce

The Journal of Commerce’s surface transport news and analysis focuses on landside transport movement — from railroad news to trucking news — including full load trucking, less-than-truckload (LTL), refrigerated (or reefer) trucking, flatbed and domestic and international intermodal rail, and how it connects with seaports, inland rail hubs, distribution centers and transloading operations. Reporting on the surface transport sector covers the movement of domestic shipments within the United States and international cargoes transported via domestic equipment including trailers and 53-foot containers.

Discover comprehensive trucking news and trends with Journal of Commerce - from trucking LTL to regulation and trucking supply and demand.

Trucking News | Journal of Commerce

Trucking News

Explore the world of ground transport news - from trucks to railroads, intermodal connections, and port ties. Daily insights on US and global shipments.

Rail News

Subsections

The latest Rail News & Analysis

RAIL BRIEFS

GRAIN, CHEMICALS BOOST RAIL TRAFFIC

HIGH COURT REJECTS MILWAUKEE ROAD BID

New Rail Lobby Group is Formed