WASHINGTON – U.S. railroad traffic fell 4.4% for the week ending April 15, the Association of American Railroads reported today.
Total carloads for the week ending April 15 were 234,066 carloads, up 5.8% compared with the same week in 2022, while U.S. weekly intermodal volume was 234,131 containers and trailers, down 12.8% compared to 2022.
Eight of the 10 carload commodity groups posted an increase compared with the same week in 2022. They included nonmetallic minerals, up 3,445 carloads, to 33,677; motor vehicles and parts, up 2,408 carloads, to 14,871; and metallic ores and metals, up 2,195 carloads, to 22,835. Commodity groups that posted decreases compared with the same week in 2022 were miscellaneous carloads, down 668 carloads, to 8,714; and forest products, down 272 carloads, to 9,311.
For the first 15 weeks of 2023, U.S. railroads reported cumulative volume of 3,453,227 carloads, up 0.2% from the same point last year; and 3,483,361 intermodal units, down 10.9% from last year. Total combined U.S. traffic for the first 15 weeks of 2023 was 6,936,588 carloads and intermodal units, a decrease of 5.7% compared to last year.
North American rail volume for the week totaled 339,933 carloads, up 6% compared with the same week last year, and 311,134 intermodal units, down 12.3% compared with last year. Total combined weekly rail traffic in North America was 651,067 carloads and intermodal units, down 3.6%.
North American rail volume for the first 15 weeks of 2023 was 9,601,378 carloads and intermodal units, down 3.9% compared with 2022.
Canadian railroads reported 82,319 carloads for the week, up 9%, and 60,931 intermodal units, down 14.8% compared with the same week in 2022. For the first 15 weeks of 2023, Canadian railroads reported cumulative rail traffic volume of 2,097,986 carloads, containers and trailers, up 0.7%.
Mexican railroads reported 23,548 carloads for the week, down 1.7% compared with the same week last year, and 16,072 intermodal units, up 10.1%. Cumulative volume on Mexican railroads for the first 15 weeks of 2023 was 566,804 carloads and intermodal containers and trailers, up 2.4% from the same point last year.
Intermodal is down due to the reduced trade with China. Some of witch is due to reduced consumer demand and some resourcing of products away from China and other Asian countries. Railroads should look to improving their domestic intermodal service as well as working with the Mexican railroads to improve their intermodal traffic. This is one of the things the merged CPKC railroad is looking to do with their merged lines. Traffic also will be impacted by how well the domestic market does with the higher interest rates the Federal Reserve bank are making. It may lead to less goods moving by all modes of transit if a rescission develops.
Dunno if this is a good sign or a bad sign. Good sign because hey, carloads are up. Or bad sign because, how surprising, intermodal is down.