CSX train at Seagirt Marine Terminal, Port of Baltimore.
Baltimore Sun | Tribune News Service | Getty Images
CSX launches new dedicated freight rail service between Baltimore and New York on Tuesday for its customers to help alleviate business disruptions resulting from the closure of the Port of Baltimore after the freighter Dali collided with the Francis Scott Key Bridge leading to its collapse on March 26.
Baltimore-bound rail freight, which has been diverted to the Port of New York and New Jersey, will use this new CSX service, the freight railroad told CNBC. Cargo destined for the Port of Baltimore as an export will also use this new service to travel to the Port of New York. The amount of freight carried on the new line has not been disclosed at this time, a CSX spokeswoman said. CSX is currently in a period of quiet earnings.
The railroad explained in an email to CNBC that strategic partnerships with shipping companies allow it to transport freight between New York and Baltimore, using its established international sales network.
The new service “will help manage the flow of traffic that typically passes through the Port of Baltimore,” the CSX spokeswoman said in a statement to CNBC, while emphasizing that the situation at the port is fluid. “While the timeline for resuming cargo operations at the Port of Baltimore remains uncertain, we are in constant communication with our customers, providing them with timely updates on the status of their shipments. CSX is fully dedicated to serving our customers’ transportation needs during this difficult time. “.
MSC, the world’s largest shipping carrier, told its shipping customers last week that “passage to and from Baltimore is currently impossible and will not be restored for several weeks to months.”
Several major shipping carriers have told their shipping customers that once cargo reaches diversion ports, it will be the responsibility of each customer to make the necessary transportation arrangements.
In addition to Baltimore freight rail service being diverted on current ships and now heading to the Port of New York/New Jersey, 10 ships, not including the Dali, are stuck at the Port of Baltimore, including three bulk carriers. , a vehicle carrier, three logistics vessels, two general cargo ships and a chemical tanker – which may ultimately require alternative freight options, including rail.
“The system is adjusting now and it says it will last for a while,” said Aaron Roth, a retired Coast Guard captain and director of the Chertoff Group. “The scale of the event is still being assessed.”
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