CSX and CN plan to launch an intermodal service from Canada’s West Coast gateways through Memphis, Tennessee, directly into Nashville, Tennessee, according to a Sept. 9 press release.
The service will offer an all-rail alternative that moves through Memphis and replaces the current trucking leg with a steel-wheel interchange, per the release. The service is expected to reduce highway truck traffic and help shippers strengthen their supply chains, Kevin Boone, EVP and chief commercial officer of CSX, said in the release.
The two railroads did not provide an expected launch date for the service, but a CSX spokesperson told Supply Chain Dive “we’ll have more information to share on the launch of the service at a later date.”
Removing drayage between Memphis and Nashville is meant to offer customers a greener, lower-cost alternative, a CN spokesperson told Supply Chain Dive in an email. CN also expects the route to primarily move automotive parts, reflecting Nashville’s position as a fast-growing hub for auto manufacturing and supply chains, per the spokesperson.
“These types of collaborations develop organically in response to shifting market dynamics, customer requests and/or changes in our scheduled operations. We continue to look for opportunities for collaboration with all our interline partners,” the CN spokesperson said.
The new service will add to the roster of interline agreements between CN and CSX, including an East Coast offering that serves ports in New York, New Jersey and Philadelphia, per the release.
CSX has also partnered with other railroads to expand its service offerings. In 2024, it teamed up with Canadian Pacific Kansas City to connect shippers to Mexico, Texas and the Southeast U.S.
The new service announcement comes as the rail industry experiences an ongoing M&A spree.
Currently, Union Pacific and Norfolk Southern are working to merge networks with an aim to close the transaction in early 2027, pending approval from the Surface Transportation Board. If approved, the combined network would connect more than 50,000 route miles across 43 states.
In 2023, Canadian Pacific and Kansas City Southern combined into CPKC, creating the first transnational railway that connects the U.S., Mexico and Canada.