b'JULY 2024BREAKBULK QUARTERLY 19(BENEFITScontinued fromWidelycirculatedvideocerned about future, unplanned(SOFTENcontinued fromable, along with lower interest page 9) fromlate2023isnotfromdisruptions.Theimpactsofpage 16) rates,saidWilliams.That totheircustomers,whetherthesedirectcrossings.Theunplannedanduncharteddis- round of tariffs that could bewill help create a very strong moving products across townrailroads have partnered withruptionslikeshuttingdowninflationaryorcouldhaveenvironmentforconstruction orborders.Wehelpthemthe CBP to ensure that 100%two critical rail arteries restrictsomeotherimpactontheand for steel.makeinformeddecisionsoftrainsarescreened,andtradeandundermineconfi- market.TheuncertaintyisUntilthatdayarrives, on striking the right balanceany unauthorized individualsdence. Uncertainty is a realitycausing people to sit back andbuyersofsteelwillenjoy with their supply chain strate- are apprehended. that could impact North Ameri- keep their finger in the air afavorablepricing.Inflation gies, said Bateman. Regardlessofthereasoncan trade at any time. littlebitlongerjusttoseemaybeoverstayingitswel-for the shutdown, the negativeWhenmanufacturersarentwhere things are going. come in many sectors of the r ailv olumesg row impact on free trade was signif- sureaboutthefutureofGlobaleventscanalsoeconomy. But steel refuses to B eTween Theu.s.,icant. There is only one inter- their supply chains, it meansservetodepressconstruc- participate.C anada andm exiCo connected North American railthey cant forecast and plan,tionplans.WilliamspointsH ot - rolledC oilUSMCAhasalsohadnetwork.ItwasreportedbywhichripplesintoadjacenttoinstabilityintheMiddle asignificantimpactonrailtheAARinDecember2023industries.Forrailroads,East, along with the Russian- S teelP riCeStransportbetweentheU.S.,that roughly 450,000 rail ship- uncertainty makes it increas- Ukraine war, as major stress- ($ per ton) Canada,andMexico.Asaments crossed the Eagle Passinglydifficulttoproperlyors. Developers are asking,Sep 2022. $774representative of the Ameri- and El Paso gateways annually.planfuturebusinessdeci- How are we going to adjustDec 2022. $742can Association of RailroadsIf the crossings were to closesions, such as the allocationif certain factors like a war, or (AAR)notes,railhasdeeppermanently, the AAR statedofrailcars,personnel,andcampusrebellions,spinintoMar 2023. $1109ties with international trade. that more than $200 millionequipment,statedasourcesomething much larger? Jun 2023. $918A hefty 42% of rail traf- ingoods,wages,andtrans- for the AAR. In response to these uncer- Sep 2023. $715fic and approximately 50,000portation costs would be lostIt is these types of con- tainties,manycompaniesinDec 2023. $1135domesticrailjobswortheach day. cernsthatRydersBatemantheconstructionindustryareMarch 2024. $931over$5.5billioninannuald isruPTionsP ose a statesarethereasonsmanysoftpeddlingdevelopment.June 2024. $725wagesandbenefitsdependshippersturntothird-partyHopefullywegetintoan ontrade.IndustryexpertsT hreaT ToT rade logistics providers.environmentin2025where*Sep 2024 $790credittheUSMCAprede- While that chapter is in the(BENEFITScontinued ondomesticandglobalpolitics*Dec 2024 $710cessor,NAFTA,withopen- past, industry experts are con- page 26) arealittlebitmorepredict- Source: CNBC *Forecasts: CRUing new markets and driving economicgrowthbylower-ing trade barriers between the U.S., Canada, and Mexico.The AAR has expressed supportfortheUSMCA, sayingthatitbuildsonthe strengthsoftheprevious deal(NAFTA)butmodern-izes it for todays commercial landscape.Forexample,it includes essential provisions relatedtoe-commerceand digitaltrade,whichwerein their infancy when the origi-nal deal was struck but nowCLOSERhelp drive the economy and intermodal rail shipmentsoneofthemostimportant parts of the rail business.e ConomiCB enefiTs ofusmCaThisspring,policymak-ersreceivedalong-awaitedON THE COLUMBIA RIVER IN WASHINGTON STATEeconomicanalysisoftheFASTERimpact of the agreement. The US International Trade Com-missionfoundthatthenew tradeagreementwouldadd 0.35%or$68billiontothe USGPDifimplemented.It would also provide long-term policy certainty for US busi-nesses,encouraginginvest- DIRECT CONNECTIONS TO MAINLINE RAIL & INTERSTATE HIGHWAYSment and growth. issuethatSMARTERHowever,one couldnegativelyimpactrail andconsumerbenefitsof theUSMCAisuncertainty. Aglaringreal-worldexam-plewasthedisruptionthat occurred in December 2023. TheCustomsandBorderSTORAGE OPTIONS & FOREIGN TRADE ZONE SPACEPatrolshuttwomajortrainBETTERcrossings at Eagle Pass and El Paso, Texas for three weeks. The reason for the shutdown, according to the CBP, was the needtodevotepersonnelto the apprehension of migrants.Atthetime,theAAR opposed the closing for many reasons, including relevance.ON-DOCK RAIL & DUAL-SERVED BY BNSF & UPSources from the AAR stated that there was little evidence to suggest that migrants used railcrossingstoenterthe US.Specifically,according totheAARpresidentandCONTACT US AT [email protected] | PORTOFLONGVIEW.COMCEO at the time, Ian Jeffries,'