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Sam Bennett

Sam Bennett

28 Jul 2023


45 Read.

Understanding the Canada-US Rail Freight Drop Post-Port Strikes

In a significant development in international trade, rail traffic from Canada to the US has experienced a third consecutive weekly drop. This “Canada-US rail freight drop” is a direct consequence of the intermittent strikes at the West Coast Canadian ports.

The strikes have led to a backlog of containers, causing a significant slowdown in rail freight movement between the two countries.

The Impact on Chemical Companies Amidst

The container gridlock resulting from the strikes is causing concern for chemical companies. These companies have critical materials stuck due to the “Canada-US rail freight drop”, leading to supply chain issues.

Last week, the total rail volume from Canada to the US was down by 12%. A clear indicator of the impact of the strikes on rail freight.

At the Port of Vancouver, there are currently nine containerships waiting, with an average wait time of 7.8 days. The Port of Prince Rupert has six container vessels anchored, with an average wait time of 8.9 days.

Canada-US Rail Freight Drop

These delays are contributing to the “Canada-US rail freight “. Further complicating the situation for businesses relying on these trade routes.

The Railway Association of Canada initially estimated that for every day the strike lasted, it would take three to five days for networks and supply chains to recover.

With the strike ending on its thirteenth day, delays for rail containers were estimated at 39 to 66 days. This prolonged recovery period is exacerbating the “Canada rail freight drop”, causing significant disruptions in the supply chain.

Delivery of Critical Chemical Goods Due to the Canada-US Rail Freight Drop

The “Canada-US rail freight drop” is impacting the delivery of critical chemical goods. Chemical Solvents, an Ohio-based company, uses the Port of Vancouver for its Asian imports. The company imports products used in paints, coatings, and cleaning agents.

The significant delays are causing problems, with existing supplies of key chemicals limited in the supply chain. This situation underscores the far-reaching effects of the “Canada-US rail freight drop”.

Canada-US Rail Freight Drop

The National Association of Chemical Distributors (NACD) has stated that some chemical companies expect supply chain congestion to last until September or October. This prediction suggests that the “Canada-US rail freight drop” could continue for some time.

The strikes have left logistics managers and the world of trade in turmoil as they attempt to assess the situation and make decisions about changing ports.

As the situation unfolds, the “Canada-US rail freight drop” remains a significant concern for businesses and policymakers alike.

Understanding the Canada-US Rail Freight Drop Post-Port Strikes