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Rail Transportation - ✔✔-Cost-effective
-Energy-efficient
-Moves large loads & huge quantities
-Constrained by accessibility, on-time delivery, frequency of service, noise,
and congestion
Rail Border Challenges - ✔✔Different regulations
Different safety requirements
Physically different equipment
Monopolistic on their routes
Class 1 Railroads - ✔✔Operating revenues: $900M annually
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,Minimum 6k miles of track
Operate in 44 states + DC
140k miles of track
19.3B freight tons ('20)
1 Ton of Freight = 500 MPG
Class 1 Railroad Companies - ✔✔BNSF (Burlington Northern-Santa Fe)
UP (Union Pacific)
KCS (Kansas City Southern, smallest)
NS (Norfolk-Southern)
CSX
CN (Canadian National)
CP (Canadian Pacific - acquired KCS '21)
Road Transportation - ✔✔Most visible form of transport
Most flexible
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, Road reach nearly everywhere
Exceptions: remote locations like Alaska, Siberia
Roads Characteristics - ✔✔Created and maintained by governments
Typically used for higher-value, lower volume, and time-sensitive cargo
Road Transport Challenges - ✔✔Cross-border transport increased with
USMCA
Laws and safety regulations impact cross-border transport
Social and environmental impacts are a concern in developed countries
Legal Classification of Carriers - ✔✔For-hire
Common
Contract
Exempt
Private
Different levels of economic regulation apply to different carriers
Types of Carriers - ✔✔-Common carriers: serve the general public
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