North American rail traffic down 3.5% for the week ending July 1

The Association of American Railroads , AAR, reported U.S. rail traffic for the week ending July 1, as well as volumes for June 2023. U.S. railroads originated 903,397 carloads in June 2023, down 0.2% or 1,931 carloads, from June 2022. U.S. railroads also originated 988,766 containers and trailers in June 2023, down 7%, or 74,306 units, from the same month last year. Combined U.S. carload and intermodal originations in June 2023 were 1,892,163, down 3.9%, or 76,237 carloads and intermodal units from June 2022. “Recent rail traffic patterns point to contrasts in the broader economy,” said AAR Senior Vice President John T. Gray. “For example, rail intermodal is largely consumer goods, but recent spending on goods has cooled considerably and, with it, intermodal volumes. On the other hand, rail carloads of industrial products are performing much better, reflecting relative strength in the auto, mineral extraction, and other sectors.” Excluding coal, carloads were up 1,841 carloads, or 0.3% in June 2023 from June 2022. Excluding coal and grain, carloads were up 21,593 carloads, or 3.8%. Total U.S. weekly rail traffic was 474,443 carloads and intermodal units, down 3.2 percent compared with the same week last year. Total carloads for the week ending July 1, were 223,254 carloads, down 1.7% compared with the same week in 2022, while U.S. weekly intermodal volume was 251,189 containers and trailers, down 4.5% compared to 2022. North American rail volume for the week ending July 1, on 10 reporting U.S., Canadian and Mexican railroads totaled 326,715 carloads, down 1.1% compared with the same week last year, and 330,637 intermodal units, down 5.7% compared with last year. Total combined weekly rail traffic in North America was 657,352 carloads and intermodal units, down 3.5%. North American rail volume for the first 26 weeks of 2023 was 16,816,097 carloads and intermodal units, down 4% compared with 2022. Publicly traded companies in the space include CSX (CSX), Canadian National (CNI), Canadian Pacific Kansas City (CP), Kansas City Southern (KSU), Norfolk Southern (NSC), Union Pacific (UNP), Greenbrier (GBX), Trinity (TRN), FreightCar America (RAIL) and Wabtec (WAB).