A Transcontinental Railroad Is America's Most Sustainable Path Forward for Freight

The proposed Union Pacific–Norfolk Southern transcontinental railroad would convert an estimated 2 million truckloads of freight from road to rail annually, eliminating approximately 2.7 million metric tons of CO2 emissions each year and removing billions of truck-miles from America’s public highways.
Union Pacific and Norfolk Southern are both named to USA Today’s 2025 list of America’s Climate Leaders. The transcontinental railroad advances environmental stewardship in four ways: removing trucks from the road, running trains more efficiently, investing in cleaner technologies and giving customers better tools to reach their own sustainability goals. Every one of these benefits follows directly from the operational logic of single-line service.

2M

Truckloads converted from road to rail annually — Oliver Wyman projection

2.7M

Metric tons of CO2 emissions eliminated per year – Oliver Wyman projection

~75%

Reduction in carbon emissions per shipment when shifting from highway to rail — Association of American Railroads

Removing Trucks from the Road

Rail is the most sustainable way to move freight over land. According to the Association of American Railroads, shifting freight from highway to rail reduces carbon emissions by about 75%. One intermodal train can remove as many as 550 trucks from the road. Oliver Wyman data estimates the combined company would convert 2 million truckloads from road to rail annually — eliminating approximately 3 billion truck-miles and 2.7 million metric tons of CO2 emissions each year.
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The reduction in interchange traffic also directly benefits communities near those hubs. Every weekday in Chicago, over 1,000 trucks move freight within the city from one railroad to the next. A transcontinental railroad removes that burden. Interchange cities including Chicago, St. Louis, Kansas City and New Orleans would see meaningful reductions in local truck congestion and air pollution.

How a Transcontinental Railroad Runs More Sustainably

Single-line service reduces emissions by enabling more efficient routing and fewer handoffs. Today, trains must stop, idle or slow at exchange points, burning fuel and releasing emissions with every unnecessary pause. The combined network would eliminate an estimated 2,400 rail car and container handlings and 60,000 car-miles each day.
Highways that would see significant truck traffic reductions as freight converts to single-line rail: I-10, I-40,I-44, I-70, I-78, I-80 and I-81.

Investing in Cleaner Technologies

Union Pacific is developing the industry’s first hybrid battery-electric locomotive and anticipates installing an advanced Energy Management System on its entire fleet of road locomotives by 2026. Norfolk Southern leads the industry in locomotive modernization, extending each unit’s life by at least 20 years with up to 55% greater hauling capacity, up to 25% improved fuel efficiency and 20% less maintenance. Union Pacific and Norfolk Southern are also piloting the industry’s first carbon capture rail car, which would capture up to 75% of CO2 emissions and reduce other air pollutants by up to 90% without affecting locomotive power.

Giving Customers Better Sustainability Tools

The combined company will offer carbon calculators, rail emissions reports, biofuel credits and other tools to help businesses measure and achieve their Scope 3 emissions goals. Every ton shifted from highway to rail reduces a shipper’s transportation footprint. The combined company makes that shift easier, more measurable and more accountable than any interline arrangement can.

“By moving large volumes of long-haul freight off highways and onto rail, the merger would improve roadway safety and reduce wear on public infrastructure. Our analysis projects a major reduction in long-haul truck traffic on key interstate highway corridors as freight converts to rail under the merger.”

- David Hunt, Vice President, Oliver Wyman, and Matthew Schabas, Principal, Oliver Wyman

Statement to the STB

FAQ

How does a transcontinental railroad benefit the environment?

Shifting freight from highway to rail reduces carbon emissions by about 75% per shipment. An Oliver Wyman study estimates the combined company would convert 2 million truckloads to rail annually — eliminating approximately 2.7 million metric tons of CO2 emissions and 3 billion truck-miles from public highways each year.

How will the proposed combination reduce congestion and pollution in major cities?

Today, trains must exchange freight at congested interchange hubs — and over 1,000 trucks move goods across Chicago alone every weekday to complete those handoffs. Single-line service eliminates those transfers, reducing truck traffic in interchange cities including Chicago, St. Louis, Kansas City and New Orleans and improving local air quality in the communities that surround those corridors.

How will the combined company help customers track their environmental impact?

The combined company will provide shippers with carbon calculators, rail emissions reports and biofuel credits. These tools are designed to help businesses quantify their transportation footprint, demonstrate measurable progress on Scope 3 emissions goals and make informed mode decisions with full environmental visibility.

Are Union Pacific and Norfolk Southern investing in cleaner locomotive technology?

Yes. Union Pacific is developing the industry’s first hybrid battery-electric locomotive and plans to install an advanced Energy Management System across its entire fleet by 2026. Norfolk Southern’s locomotive upgrades extend unit life by at least 20 years with up to 25% improved fuel efficiency. Both companies are piloting the industry’s first carbon capture rail car, designed to capture up to 75% of CO2 emissions without affecting locomotive power.

Frequently Asked Questions

Is this a monopoly?

No. The proposed transcontinental connection is not structured to create a monopoly railroad. It is an end-to-end combination of two largely complementary networks and will undergo full STB review, including scrutiny of competition and any monopoly concerns.

Will shippers have fewer carrier options?

The proposal is intended to maintain current carrier options while adding a new single-line routing alternative for certain long-haul freight movements. The STB will evaluate shipper options in specific corridors and may require measures to protect or enhance customer choice.

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How is competitive impact assessed

The STB public interest standard includes assessing competition, service, safety and environmental impacts. The Board may require conditions that preserve or enhance competition where appropriate.

What markets could see new service options

Potential opportunities include West Coast–Midwest–Southeast corridors that currently require multiple interchanges, particularly for intermodal and certain carload traffic.

Where can stakeholders review the proposal?

More information is outlined in the STB application available on the STB Hub page.

Make Your Voice Heard

More than 2,000 businesses, unions, farmers and community leaders have already told the Surface Transportation Board why this combination matters — the largest show of support in STB history. Tell your representatives in Congress why America needs a transcontinental railroad.

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