- CN (CNR) is buying a thousand new-generation, high-capacity hopper cars
- The move is aimed at enabling the company to facilitate record grain shipments to meet growing demand
- The order is part of a larger program to build and renew a fleet of 6,000 hopper railcars over the next three years
- The new railcars will be built in a TrinityRail manufacturing plant in Mexico
- CN is up 1.06 per cent, trading at C$135.44 per share at 11:12 am ET
CN (CNR) is buying a thousand new-generation, high-capacity hopper cars.
The move is aimed at enabling the company to facilitate record grain shipments to meet the growing needs of North American grain farmers and demands of grain customers.
The order is part of a larger program to build and renew a fleet of 6,000 hopper railcars over the next three years.
The new railcars will be built in a TrinityRail manufacturing plant in Mexico.
The company says the new high-capacity railcars will “expand capacity, providing greater efficiency, reliability and safety for North American grain farmers, their customers, and the supply chain.”
“These cars will be manufactured in Mexico and will help move more grain across the CN rail network, which continues to make CN the embodiment of a true USMCA railroad. Being an engine of North American economic growth and prosperity means that CN focuses continually on making strategic investments. Adding these 1,000 new generation hopper cars to our fleet is a prime example of that. In addition to our superior proposal to combine with KCS, this is a step further in our vision of seamlessly connecting ports and rails in the United States, Mexico and Canada and of providing superior service, enhanced competition and new market access to move goods across North America efficiently and safely,” said CN President and Chief Executive Officer JJ Ruest.
Adding the lighter, shorter, high capacity rail cars to its fleet will enable CN to move more grain, with less equipment, supporting the company’s focus on better serving customers by providing safe, efficient, low carbon freight transportation services.
CN uses 15 per cent less fuel per gross ton mile than the industry average. In 2020, CN’s actions to reduce emissions, mitigate climate risks and to develop the low-carbon economy resulted in CN being one of only three Canadian companies listed on CDP’s prestigious Climate A List. The partnership with TrinityRail will continue to help CN maintain its commitment to a cleaner connected continent.
“The purchase of 1,000 new high-capacity hopper cars by CN is good news for Canadian grain farmers, grain customers, and the Canadian economy. A safe and reliable freight rail system is a critical part of a healthy Canadian economy that supports good middle class jobs,” said Canada’s Transport Minister Omar Alghabra.
CN is up 1.06 per cent, trading at C$135.44 per share at 11:12 am ET.