A day after Union Pacific Railroad announced it launched an expedited chemical service with Norfolk Southern Railway, the Class I said it formed a new expedited chemical service with CSX Transportation, Progressive Railroading reported.
The joint UP-NS "RailChem Connect" service will target chemicals moving between Texas' Gulf Coast region and the Southeast, such as through Houston, southern Texas and Louisiana. The service enables trains to bypass smaller yards and provide expedited transit between major hubs.
UP recently introduced the Gulf Coast Flyer to move chemicals between UP-served locations in southern Texas and Louisiana, and NS destinations in the Northeast and Southeast. Eastbound and westbound shipments between the Class Is will connect in the Salem, Ill., and New Orleans gateways.
During the past three years, UP and CSXT have reduced transit time between major markets by 25 percent and improved service consistency by 23 percent, according to the Class Is. Through RailChem Connect, the railroads plan to offer faster equipment turns and a shorter route than previously available for chemical moves in the corridor.
Also, during the past two years, UP and NS have spent about $740 million to build or improve terminals, mainlines, bridges and sidings along Gulf Coast Flyer lanes. As a result, transit times and service consistency has improved in the lanes by 20 percent and 10 percent, respectively, according to the railroads.
By reducing transit times and tightening delivery variability, the Class Is can "significantly improve reliability" for shippers, said Diane Duren, UP's vice president and general manager of chemicals, in a prepared statement.