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West coast IM traffic decline. Problems for Class 1s ?

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  • Member since
    March 2018
  • 145 posts
Posted by Ed Kyle on Saturday, April 29, 2023 1:42 PM

My guess is that the decline of Long Beach and Port of LA hurts BNSF more than UP, although the latter's Sunset Route takes a hit.  BNSF's raceway is the premier route for LA to Chicago intermodal.  As for these ports, I wonder if they aren't being punished for their horrible performance during Covid and for the strike threats.

  • Member since
    January 2015
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Posted by kgbw49 on Saturday, April 29, 2023 1:29 PM

As more and more manufacturing companies diversify their operations out of China there could be some change.

For companies relocating to Vietnam, Maylasia, Indonesia, Singapore, the Phillipines, etc., trade routed to the US will probably still go through the West Coast ports.

For manufacturing that relocates to India, trade may end up heading to East Coast ports via the Suez Canal and Mediterranean Sea.

Coupled with the regulatory environment of CA, I do think the Barstow Intermodal Gateway is far from certain, even to the point of possibly going the way of the UP's Brazos Yard classification yard, which was cancelled in 2021 and existing grading used to set up a block-swapping operation.

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Posted by BaltACD on Saturday, April 29, 2023 10:53 AM

blue streak 1
Will decline of IM traffic at west coast have BNSF and UP with too much capacity?  CSX and NS may get in crunch :  If BNSF too many crews & locos it should be able to transfer some to cover the coal compapny problems ?

https://www.msn.com/en-us/travel/news/an-air-train-in-china-runs-using-an-overhead-magnetic-track-never-touching-it-as-it-glides-through-the-air-30-feet-above-the-ground-see-it-in-action/ss-AA10QEk1?ocid=msedgntp&cvid=1e01db61beee4a1fb1d62a74a579a70b&ei=35 

Was watching a maritime channel.  The year over year container volumes have collapsed.  However, when you look at the 'pre-covid' container volumes there appear to be a slight increase.

If one uses the pre-covid volumes as the Norm then overally shipping is returning to its traditional normal patterns.  2021 & 2022 were the exceptions, not the rule.

Never too old to have a happy childhood!

              

  • Member since
    December 2007
  • From: Georgia USA SW of Atlanta
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West coast IM traffic decline. Problems for Class 1s ?
Posted by blue streak 1 on Saturday, April 29, 2023 10:36 AM

Will decline of IM traffic at west coast have BNSF and UP with too much capacity?  CSX and NS may get in crunch :  If BNSF too many crews & locos it should be able to transfer some to cover the coal compapny problems ?

https://www.msn.com/en-us/travel/news/an-air-train-in-china-runs-using-an-overhead-magnetic-track-never-touching-it-as-it-glides-through-the-air-30-feet-above-the-ground-see-it-in-action/ss-AA10QEk1?ocid=msedgntp&cvid=1e01db61beee4a1fb1d62a74a579a70b&ei=35 

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