LogisticsIndustry ContextWednesday, April 22, 20263 min read

CSX curtails operations at its major yard in Chicago

Freightwaves3d ago
CSX curtails operations at its major yard in Chicago
Executive Summary

CSX significantly reduced operations at its major Chicago rail yard, shifting switching work to other carriers and eliminating merchandise train routes. The yard's daily car inventory dropped from 1,400-1,800 cars to just 228 cars as of this week.

Our Take

Chicago is a critical rail hub for goods moving between coasts, so reduced switching capacity could create bottlenecks for freight shipments. Sellers should monitor inbound shipment delays from suppliers using rail transport through the Midwest corridor.

What This Means

This reflects broader rail industry consolidation and efficiency drives that could create temporary supply chain disruptions as carriers optimize their networks.

Key Takeaways

Check your supplier shipping methods in Vendor Central or ask manufacturers if they use rail freight through Chicago - consider requesting alternative routing to avoid delays.

Monitor your inbound shipment performance metrics for the next 60 days to identify any Chicago-related delays affecting inventory replenishment.

Bottom Line

Chicago rail yard cuts mean potential freight delays for Midwest shipments.

Source Lens

Industry Context

Useful background context, but lower-priority than direct platform, community, or operator intelligence.

Impact Level

medium

Chicago rail yard cuts mean potential freight delays for Midwest shipments.

Key Stat / Trigger

daily car inventory dropped from 1,400-1,800 cars to 228 cars

Focus on the operational implication, not just the headline.

Relevant For
SellersBrands

Full Coverage

CSX has significantly reduced operations at Barr Yard in Riverdale, Ill. , its major Chicago-area terminal, and has shifted most of its switching work to the Belt Railway of Chicago and Indiana Harbor Belt.

“CSX is reducing operations at Barr Yard as part of the company’s ongoing effort to improve how we operate across the network,” railroad spokesman Austin Staton tells Trains.

“We’re shifting certain traffic flows to reduce redundant processing in Chicago and leveraging established partner switching capacity, like the BRC and IHB, to create a more direct network flow. The goal is to improve efficiency, reduce transit times, and provide more reliable service.”

Barr Yard, which has been one of CSX’s top 10 terminals by volume, typically had a daily inventory of between 1,400 and 1,800 cars this year, according to data reported by the Chicago Transportation Coordination Office. As of last week an average of 1,113 cars were in the yard.

Today only 228 cars were in the yard’s inventory, a figure that included 118 empty petcoke cars in storage, according to a CSX (NASDAQ: CSX) source. Barr’s switching work is now being handled by BRC’s Clearing Yard and IHB’s Blue Island Yard. CSX also eliminated a daily transfer job between Barr Yard and Canadian National’s Kirk Yard in Gary, Ind.

Road freights are now taking those cars to and from Kirk Yard and bypassing switching at Barr in the process. In addition, CSX has dropped merchandise train pair M326/M327 that ran between Barr Yard and Grand Rapids, Mich. Traffic those trains handled is now being routed around the horn via Garrett, Ind.

; Toledo, Ohio; and Detroit, according to union officials. “We are closely monitoring performance as these changes are implemented to ensure minimal disruption and deliver maximum benefits to our customers and the communities we serve,” Staton says.

“CSX remains committed to transparent communication with employees, customers, and other stakeholders as we evaluate the success of this transition and consider any future adjustments.” Joe Ciemny, the chairman of SMART-TD union local 1534, says a dozen two-person yard jobs were eliminated over the weekend as part of the changes at Barr.

“We’re fighting this,” he says. “We feel this is unfair labor practices on their behalf.” Under the B&OCT contract, the union’s members have the right to perform all of the railroad’s switching in the Chicago terminal, Ciemny says. Farming it out to other railroads violates the collective bargaining agreement, he says.

Several yard and local jobs remain based at Barr to serve area customers. Subscribe to FreightWaves’ Rail e-newsletter and get the latest insights on rail freight right in your inbox.

Original Source

This briefing is based on reporting from Freightwaves. Use the original post for full primary-source context.

View original
LinkedIn Post Generator

Style

Audience