(Dec 19): Union Pacific Corp’s takeover of Norfolk Southern Corp will create a stronger competitor to long-haul trucking and take about two million truckloads off US roads each year, the companies said as they pursue regulatory approval for the combination. Creating a continuous, coast-to-coast railroad will also reduce the need to transfer cargo between the companies by truck at interchanges. Union Pacific and Norfolk Southern are pitching the US$72 billion (RM294.09 billion) cash-and-stock transaction that would significantly consolidate the US freight rail industry as a means to spawn a stronger competitor to trucking. The companies argue shifting cargo to rail from trucks will reduce pollution and the burden on taxpayer-funded roads. Long-haul trucking “dominates” the market, the companies said, citing US government data showing the rail industry saw a nearly 10% decline in market share between 2014 and 2023.

Source: The Edge Markets December 19, 2025 15:27 UTC