Can rails pivot to growth and provide service in an increasingly service-focused world? (Tony Hatch)

Tony Hatch (4)

The debate is – is this the same old rails or (shudder) is this time really different?  Can rails pivot to growth and provide service in an increasingly service-focused world?

Freedom Focus Reports out of Cleveland puts rail revenue growth at a ~5% CAGR through 2025, but others, including some folks I respect, think it is “illusory”, noting that the Canadian “pivot” was really all about BC port share gains.

My counter is that Prince Rupert doesn’t work without CN (etc) and that even superior service doesn’t create growth (rails cannot stimulate imports, but help decide where they enter the continent, in this example), just create growth opportunities.