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News Wire: Wal-Mart, like Amazon, tests direct intermodal relationship with railroads; introduces purpose-built containers

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Posted by Brian Schmidt on Wednesday, April 3, 2019 12:47 PM

BENTONVILLE, Ark. — Walmart is expanding its use of rail intermodal and doing it with new custom containers. Walmart launched a new rail strategy in 2018 when, with its own specially-designed containers, the big retailer began a pilot program ...

http://trn.trains.com/news/news-wire/2019/04/03-wal-mart-like-amazon-tests-direct-intermodal-relationship-with-railroads-introduces-purpose-built-containers

Brian Schmidt, Editor, Classic Trains magazine

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Posted by MidlandMike on Wednesday, April 3, 2019 7:45 PM

I wonder if this is just a hiccup in the growth of 3rd party logistics companies, or the start of a trend away.

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Posted by tree68 on Wednesday, April 3, 2019 7:55 PM

MidlandMike

I wonder if this is just a hiccup in the growth of 3rd party logistics companies, or the start of a trend away.

I would opine that would be dependent on the size of the operation.  Smaller customers may not find it worth their while.  Walmart has the volume to justify a fleet of drayers, and to demand service from the railroads.

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Posted by Shadow the Cats owner on Wednesday, April 3, 2019 9:29 PM

Hubby has been seeing a few of these on the BNSF trains that run by our house recently.  He's thinking that Walmart is loading them up in California close to the docks and shipping them to intermodal hubs close to their distribution centers.  It saves them a couple of drayage moves from a normal international container shipment and the freight bill for such.  They've been on a hiring spree for driver's over the last few months.  This could have been why.

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Posted by traisessive1 on Friday, April 5, 2019 9:59 AM

Retail companies having their own containers is not new. 

Canadian Tire has been doing this in Canada for A LONG TIME. 

About Canadian Tire Corporation
Canadian Tire Corporation, Limited (TSX:CTC.a) (TSX:CTC) is a Family of Companies that includes Canadian Tire Retail, Partsource, Gas+, FGL Sports (Sport Chek, Hockey Experts, Sports Experts, National Sports, Intersport and Atmosphere), Mark's and Canadian Tire Financial Services.  With more than 1,700 retail and gasoline outlets from coast-to-coast, our primary retail business categories - Automotive, Living, Fixing, Playing and Apparel - are supported and strengthened by our Financial Services division. Over 85,000 people are employed across the Canadian Tire enterprise, which was founded in 1922 and remains one of Canada's most recognized and trusted brands.

They also own Helly Hansen. 

10000 feet and no dynamics? Today is going to be a good day ... 

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