Upping the Intermodal Stakes
While serving local markets occurs via trucking, the need for efficient intermodal rail at North Atlantic ports is required to serve discretionary markets in Central Canada and the US Midwest.
There are a range of different initiatives at several ports in the region. At NY/NJ, for example, container activity involving intermodal rail has remained consistent since 2012, between 12%-15%, but this share is well below the port authority’s previously stated aim of targeting 25% of total container activity using rail. Yet with such a very strong and largescale local market to serve, the challenge remains of attracting more discretionary cargo.
In 2023, Montreal committed to C$355 million of investment spending in the next five years, which includes further optimising rail capacity. However, the plan as stated does not outline how much extra rail handling will be possible. Congestion has occurred in the past couple of years due to access issues at Montreal and Toronto rail yards and endorses the need for improvements.
An integral part of Saint John’s improved competitiveness is the investment and connectivity from Canadian Pacific (now merged with Kansas City Southern to form CPKC). CPKC describes developments in Saint John as a “big turnaround” based on connectivity to the railroad’s coast-to-coast network, a secured agreement with US Customs and Border Protection for a single border clearance point – Jackman, Maine, and investment of C$90 million to upgrade track infrastructure
The other major regional development is occurring in Baltimore, through its Howard St. Tunnel initiative. The project consists of vertical clearance improvements along CSX’s I-95 Rail Corridor to allow double-stack trains to move between Baltimore City, Maryland and Philadelphia, Pennsylvania.