This Blog reports on today’s American Railroads, with news, updates, and more. Check back for updates as we add them.
UP & NS Merger Talks:
11&8/2025: UP & NS Merger Talks Again: UP & NS resume mereger talks this month. Both railroads spoke in the past about merger possibilities. Talks seem to be more serious this time around, especially with the US administration’s more laxed regulations with company mergers. The result of this merger would more than likely cause a merger between BNSF & CSX eventually, in order to keep both businesses competitive. Talks are still moving forward.
(12/2022): Railroad Strike Prevented: US’s railroads had been negotiating terms and contracts with their employees and the unions for 2022. Congress kept a strike from moving ahead as of 12/2022, with increased wages only. Due to rail workers lack of time off and safety concerns, the unions and part of Congress wanted to also include more extended sick days for railroad workers. However, only 1 paid day off was added and passed by the rest of Congress, in order to get the measure passed to avoid a shut down. Even though the measure didn’t pass with the extended paid sick days, the White House is pushing for legislation for more sick days for all workers in the US.
CP and KCS Merger Update/NS OH Derailment-Amtrak Reroutes/NS & CSX Business & Profits Up:
(11/2021) CP & KCS have finished their aquisition, but still have to go through the STB to finalize the actual merger of both railroads. An answer is expected by early next year. NS had a tank train hauling wax derail, that took out both NS mains in Sandusky, OH on their Chicago Line, 10/2022, causing NS and Amtrak to reroute trains (Amtrak rerouted about 4 trains onto NS’s Toledo District, south of Sandusky). NS & CSX business and profits are up.
CP and KCS Talk Merger:
(5/2021) Canadian Pacific and Kansas City Southern have agreed to a merger, that will bring CP from Canada to Mexico, with CP purchasing KCS for $25 billion. CN has made a counteroffer of $33 billion. The winning Railroad that ends up purchasing the KCS still needs approval by the STB by next year. It was only a matter of time when another railroad would take over the KCS, because of its southern connections. KCS runs from IL through Mexico and Panama/Central America (by the Panama Canal Railway, partly owned by KCS). Maybe a bidding war is coming from other railroads now noticing the connection possibilites KCS has. Time will tell.
Update: CP out as purchaser of KCS- CN now has the top bid, and UP is getting involved as well.
9/2021: CP back in talks with KCS, CN is now out per the STB. Whether you like CN or CP, the truth of the matter is the Canadian big 2 railroads do things differently, compared to the US roads. Canadians have a lot of edge due to the fact they actually make their customers a priority (and show it through actions), they have a different type of coal they mine that is in demand with outside countries, they have two true transcontinental routes, they haul more agricultural products, and better rates at their main east and west coast container ports (which results in more rail, truck, and ship traffic at those ports). Now Canada wants access to Mexico (including Panama through KCS’s Panama Canal Railway), to expand their edge, politics aside. They definately have the future in their vision. If US roads want an edge, they need to catch up and follow what the Canadian roads are practicing.
Check back!
© Copyright 2021, 2022 1-West Productions™/PJ. Duplication, modification, public transmitting prohibited.
