CN plans intermodal yard in south Buffalo

BUFFALO, N.Y. (March 8, 2000) — Canadian National Railway Co. unveiled plans to build a truck-to-train transfer terminal that could make Buffalo a major shipping hub in CNÕs pending merger with Burlington Northern Santa Fe.

Buffalo would become the easternmost U.S. port for the rail giant. The merged company would cover all of Canada and the Western and Midwestern United States, but would have no track running to East Coast ports such as New York, Philadelphia and Baltimore.

The intermodal facility — which would be located south of the city centre — would be a transfer point for intermodal cargo containers. However, CN trains would have to travel from south Buffalo to the CN-owned International Bridge, which crosses the Niagara River north of the Peace Bridge. To get there, the CN trains would have to cross the Buffalo River on the “CP drawbridge,” which is owned by rival CSX Corp. and has limited carrying capacity.

Opponents of the merger argue that it would reduce competition and create freight logjams and service delays. Currently, Buffalo companies that receive shipments from the Pacific Rim have east-west competition between CN and BNSF. Shipments can arrive in Vancouver and come east by CN, or they can come into Seattle and travel on BNSF. The proposed merger would eliminate that competition.