THE CASE AGAINST
THE UP-NS MERGER

Mega-Merger Threatens Freight Competition,
Customer Choice, and Supply Chain Stability

  • The U.S. supply chain thrives on choice, innovation, and resilience. A merger that reduces competition introduces risks and limits flexibility – especially given the challenges seen in past integrations.
  • The proposed UP-NS merger isn't being driven by customer needs – it's being driven by short-term financial interests. BNSF believes there's a better way: delivering real, immediate benefits to customers while maintaining a healthy competitive landscape.

Preserve Rail Competition: A Better Path Forward for Customers and the U.S. Economy

HAVE YOUR SAY!

Your Voice Matters

  • We encourage you to participate in the STB review process and share your perspective.
  • Let regulators know that preserving competition and customer choice is essential for a healthy supply chain and economy.
ACT NOW TO MAKE YOUR VOICE HEARD!

PRESERVE COMPETITION

BNSF Advantage – Our Commitment to Compete

  • BNSF believes in collaboration – not consolidation – to expand service and preserve a balanced, customer-focused network
  • Learn more about our customer-first approach powered by industry-leading innovation, strategic investments, and collaborative partnerships – delivering reliable, efficient, and resilient supply chain solutions that help your business win.

Protecting Customer Choice and Market Balance

  • The proposed UP-NS merger would concentrate nearly half of the nation's freight under one railroad – limiting shipper choices and reducing long-term competitiveness.
  • Unlike the CP-KCS merger (which affected just 5% of the market), this proposal is unprecedented in scale and could reshape the industry in ways that limit customer options.
  • Eliminating up to 300 intermodal lanes and closing facilities could permanently reduce access and flexibility for shippers and the consumer goods our country depends on.

Why Competition Drives Better Service and Pricing

  • Healthy competition drives better service, fair pricing, and continued infrastructure investment – all of which are at risk under a mega-merger.
  • Customers with limited shipping alternatives – especially in chemicals, agriculture, and metals – would likely face higher rates and reduced service reliability.
  • Efficiency promises often fall short; when targets aren't met, rate increases and cost-cutting measures follow, affecting reliability and customer experience.

PROTECT THE SUPPLY CHAIN

Safeguarding Supply Chain Resilience and Economic Stability

  • The pandemic underscored the need for a resilient supply chain—this merger introduces significant risk to that stability.
  • Past mergers have led to service disruptions that took years to resolve. Even smaller integrations have caused ripple effects across the economy.

For example, after the UP-SP merger in 1996, the initial congestion in Houston created a domino effect, with rail traffic backing up for thousands of miles across the country. By the fall of 1997, the system was completely paralyzed:

Massive delays

Average train speeds plummeted, and tens of thousands of rail cars were left stranded on sidings for weeks or months.

Economic disruption

Major industries, particularly the chemical and agriculture sectors, were severely impacted. Factories in the Gulf Coast region were forced to shut down due to shortages of raw materials, and ports in California saw massive backlogs of cargo.

Financial fallout

Shippers lost an estimated $100 million per month from delays. Union Pacific itself lost more than $1 billion and experienced three consecutive quarters of net losses. Several major companies sued the railroad.

  • While regulatory safeguards exist, they rely on compliance and good faith. History shows that enforcement can be challenging and ineffective.
  • BNSF has had to pursue legal action multiple times to access rights granted in previous mergers, highlighting the limitations of regulatory remedies.
LEARN MORE ABOUT OUR PETITION TO THE STB

STAY INFORMED

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