(The Association of American Railroads issued the following on September 4.)
WASHINGTON, D.C. — Both carload and intermodal freight were down slightly during August on U.S. railroads, in comparison with the same month last year, the Association of American Railroads (AAR) reported today.
U.S. railroads originated 1,340,387 carloads of freight during the month, down 6,125 carloads (0.5 percent) from August 2007. U.S. railroads also originated 941,500 intermodal trailers and containers in August 2008, 16,040 units (1.7 percent) fewer than August 2007, the AAR said.
Commodities showing carload gains in August 2008 included coal (up 29,552 carloads, or 5.2 percent, to 603,229); metallic ores (up 5,252 carloads, or 18.8 percent, to 33,172), and chemicals (up 4,178 carloads, or 3.4 percent, to 126,342).
Commodities showing carload declines in August 2008 included motor vehicles and equipment (down 27,174 carloads, or 33.0 percent, to 55,126); crushed stone, sand, and gravel (down 8,859 carloads, or 10.3 percent, to 77,245); and coke (down 7,397 carloads, or 31.9 percent, to 15,794).
All told, seven of the 19 major commodity categories tracked by the AAR saw U.S. carload increases in August 2008 compared to August 2007.
For the first eight months of 2008, total U.S. rail carloads were up 30,450 (0.3 percent) to 11,399,000 carloads. Year-over-year traffic is up in coal (up 167,938 carloads, or 3.5 percent); grain (up 97,891 carloads, or 13.1 percent); and chemicals (up 34,784 carloads, or 3.3 percent), among others. Year-over-year traffic is down in motor vehicles and equipment (down 123,203 carloads, or 17.6 percent); coke (down 62,494 carloads, or 31.9 percent); and crushed stone, sand, and gravel (down 47,072 carloads, or 6.5 percent), among others.
“Economic crystal ball gazers still don’t know quite what to make of the economy. Last week’s announcement that preliminary second quarter GDP was up 3.3 percent, up from a 0.9 percent increase in the first quarter, could mean that the economy is stronger than many people think. Or, it could just be a blip prior to slower growth ahead,” noted AAR Senior Vice President John T. Gray. “And while rail traffic figures right now don’t lend much support either way — autos and lumber remain down, coal and grain remain up — railroads are in good position to handle the steady traffic increase that will come when the economy does return to a clear, strong upward path.”
U.S. intermodal traffic, which consists of trailers and containers on flat cars and is not included in carload figures, was down 233,043 trailers and containers (2.9 percent) for the first eight months of 2008 to 7,828,312 units.
Total volume for the first eight months of 2008 was estimated at 1.18 trillion ton-miles, up 1.4 percent from last year.
Canadian rail carload traffic was down 12,416 carloads (4.0 percent) in August 2008 to 294,746 carloads. For the year to date, total Canadian carloads are down 111,783 carloads (4.1 percent) to 2,595,124 carloads. In August, carload declines for grain (down 10,594 carloads, or 27.9 percent) and motor vehicles and equipment (down 5,259 carloads, or 18.8 percent), among others, offset carload increases in metallic ores (up 7,164 carloads, or 14.9 percent) and coal (up 4,591 carloads, or 14.9 percent), among others.
Canadian intermodal traffic was up 6,215 units (3.1 percent) in August 2008 compared with August 2007 to 203,602 units, and up 66,760 units (4.1 percent) for the first eight months of 2008 to 1,678,444 units.
Carloads carried on Kansas City Southern de México, a major Mexican railroad, were down 3,773 carloads (8.6 percent) in August 2008 to 40,207 carloads, while intermodal units carried were up 1,190 units (5.7 percent) to 21,965 in August 2008. For the year-to-date, KCSM carloads carried were down 3.9 percent (14,750 carloads), while intermodal units carried were up 8.3 percent (13,022 units).
During just the week ended August 30, U.S. railroads originated 342,040 carloads, down 0.3 percent (921 carloads) from the corresponding week in 2007. Carloadings were down 3.2 percent in the East and up 2.9 percent in the West. Intermodal volume of 240,081 trailers and containers was the highest of any week so far in 2008, though down 1.6 percent (3,963 units) from last year. Total volume was an estimated 35.9 billion ton-miles, up 0.6 percent from the corresponding week of 2007.
During the week ended August 30, Canadian railroads originated 75,149 carloads, down 1.5 percent from last year, and 52,338 trailers and containers, up 4.5 percent from the corresponding week of 2007. The Canadian intermodal total was also the highest of any week so far in 2008.
Combined cumulative rail volume for the first 35 weeks of 2008 on 12 reporting U.S. and Canadian railroads totaled 13,994,124 carloads, down 0.6 percent (81,333 carloads) from last year, and 9,506,756 trailers and containers, down 1.7 percent (166,283 units) from the first 35 weeks of 2007.