BNSF to shippers: Speak up about UP-NS merger

Core Viewpoint - BNSF Railway opposes Union Pacific's proposed acquisition of Norfolk Southern, arguing it will reduce rail competition, increase rates, and potentially lead to operational issues [2][3][6] Group 1: Concerns About the Merger - BNSF claims that no customers are requesting the UP-NS merger, stating it is primarily driven by Wall Street for shareholder profits [3] - The merger is expected to impose costs on shippers, as UP's target of 10% volume growth is deemed unrealistic, leading to higher rates on captive traffic [3][4] - BNSF warns that UP will likely close 300 intermodal lanes if the merger is approved, prioritizing high-density lanes over low-volume ones [4] Group 2: Impact on Competition and Service - BNSF argues that the merger will diminish competition, adversely affecting smaller customers and communities [4] - The company highlights that past Class I megamergers have resulted in service-related issues, raising concerns about the operational integration of UP and NS [5] - BNSF expresses skepticism about the Surface Transportation Board's ability to enforce conditions that would protect shippers' competitive options [6] Group 3: Broader Implications - The potential impact of the merger on America's supply chain, economy, and consumers is viewed as too risky, especially in light of challenges faced during the pandemic [6] - BNSF encourages customers to voice their concerns to the Surface Transportation Board regarding the merger [2]