CN Files Conditions to Preserve Midwest Rail Competition

News fromCourierPR · 2 min read

MONTREAL, Sept. 10, 2026 /CourierPR/ -- Canadian National Railway (CN) has filed a detailed set of conditions with the Surface Transportation Board (STB) to ensure that the proposed merger between Union Pacific (UP) and Norfolk Southern (NS) will not undermine rail competition and customer choice in key Midwest markets.

According to CN, the filing is part of an effort to secure access to new locations and customers as a remedy for competitive harms resulting from the UP-NS merger. Olivier Chouc, Senior Vice-President and Chief Legal Officer at CN, emphasized the importance of competition in the rail industry, stating, "Competition matters because it supports better service, stronger customer options and incentivizes investment."

CN's proposed conditions aim to preserve meaningful rail competition and customer choice while expanding access to CN’s network and service in key Midwest markets. Specifically, CN is seeking to strengthen its presence in the region by connecting its network to key areas in St. Louis and Kansas City. The conditions also include measures to preserve competitive rail options for shippers in Des Moines, Iowa, and central and southern Illinois, where the proposed transaction would reduce the number of Class I railroads serving their facilities from two to one.

The proposed conditions also seek to address the loss of a Class I carrier in areas where UP’s and NS’s networks overlap. CN is proposing new access to Kansas City, including rights between Kansas City and St. Louis, as well as leasing UP’s Neff Yard in Kansas City. Additionally, the company is seeking improved access to East St. Louis, Illinois, and St. Louis, Missouri, with overhead trackage rights between Tuscola, Illinois, and East St. Louis, Illinois.

Chouc further elaborated on CN’s commitment to these expanded services, stating, "These conditions would address competitive harms from the proposed transaction, strengthen competition across the Midwest and provide shippers with additional service and routing options. CN is committed to investing in these expanded services to preserve competition for shippers and provide additional transportation options."

These anticipated conditions remain subject to STB approval and the closing of the proposed UP-NS transaction. Formal requests for conditions are due on November 18. CN believes that these measures will ensure that the proposed merger will not significantly harm competition in key Midwest markets.

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