Rail/Intermodal
The major news this week concerning intermodal freight was the destruction of the Francis Scott Key Bridge in Baltimore due to a collision by a container ship. The crash has disrupted both Port of Baltimore shipping operations and highway traffic patterns in the area. It is unclear how long debris will curtail port operations, but the bridge collapse clearly will disrupt highway traffic flows for a much longer period.
The Port of Baltimore is a small player in container traffic, but it is a far more important conduit for trade in heavy equipment and passenger vehicles.
Rail Volume
North American rail traffic declined in the latest week as most carload commodity groups saw lower volume week over week. The largest commodity to see any growth was grain, which was up 2%.
Intermodal traffic ticked up 0.6%. On a y/y basis, carload volume was down 5.5% while intermodal traffic was up 9.4%.
Through week 12 of the year, total rail traffic is up 1.8% y/y, although carload volume is down 3.9% while intermodal traffic is up 8%. Only three carload commodity groups are positive y/y – petroleum/petroleum products, chemicals, and motor vehicles and parts. The principal drag on carload volume continues to be coal, which was down nearly 21% y/y in the latest week and is down more than 13% y/y on a cumulative basis.
