The Stop the Rail Merger Coalition has been formed to counter the proposed Union Pacific and Norfolk Southern merger, a move that would reshape the American supply chain. The coalition is anchored by BNSF and CPKC, joined by major agriculture and chemical shippers groups, as well as the Teamsters labor union.
The group warns that the merger would reduce competition, drive up costs for American manufacturers, farmers and consumers, and inject new vulnerabilities into the nation's workforce and supply chain. This comes at a time when affordability and resilience matter most.
A national poll conducted by McLaughlin & Associates found nearly 71% of Americans oppose the merger after learning about its impacts, while just 20% support it. The results suggest that public opinion is strongly against the proposed deal.
The Surface Transportation Board initially rejected the initial merger application as incomplete, asking for more information on market share projections, terms that would permit UP's withdrawal from the deal, and plans for divestment of a switching railroad that handles interchange traffic in St. Louis.
Chemical producers and other shippers who suffered service issues under previous mergers earlier coalesced under the Rail Customer Coalition banner; this is the first time Class I railroads have joined that branding.
The merger would reshape the American supply chain, with 53,000 miles of track in 43 states. UP and NS claim a seamless coast-to-coast railroad will convert 2 million truckloads to rail annually, making the journey in as little as 4 days – competitive with motor carriers.
However, the coalition's message highlights concerns about the lack of transparency and potential for consolidation to harm small businesses and workers. The proposed deal has been met with skepticism by many stakeholders.
The Stop the Rail Merger Coalition's efforts demonstrate that public opinion is shifting against the proposed merger, putting pressure on regulators to reconsider their decision.
The Stop the Rail Merger Coalition's unified front highlights concerns about the impact of consolidation on American manufacturers and consumers.
