CN, CSX announce new intermodal service

CN and CSX yesterday announced a new intermodal service that will be offered between CN's greater Montreal and southern Ontario areas, and the CSX-served ports of Philadelphia, New York, New Jersey and New York City.

Set to launch Oct. 7, the new service aims to convert long-haul trucks to interline rail services, said Keith Reardon, CN's senior vice president of consumer product supply chain, in a press release.

"Trains will run directly into the heart of the metropolitan markets of Toronto and Montreal via CN intermodal yards, making this partnership a natural opportunity for both railroads," Reardon said.

Offering all-rail intermodal service from the East Coast to Montreal and Canada aligns with CSX objectives for providing faster and more efficient service, while positioning both CSX and CN for future growth, said Mark Wallace, CSX executive VP of sales and marketing.

Said CSX President and Chief Executive Officer Jim Foote: "Answering a need expressed by our customers, this new service positions us to capture market share from trucks and increases capacity in these expedited lanes, as larger container ships call at the Port of Philadelphia and Port of New York and New Jersey.”

The freight market will increasingly depend on demand driven by consumers, and the rail industry has to provide intermodal service that can rival over-the-road options, said CN President and CEO JJ Ruest.

"This interline service fits perfectly with our strategic focus on feeding our unique network through organic and inorganic growth opportunities, including extending our reach into new geographic markets,” Ruest said.