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Supply Chain Matters News Capsule Follow-up: Regulator Approves Canadian Pacific Merger with KCS and Added Rivian Development

Supply Chain Matters

In this update, we note the approval of a significant merger involving North America rail service and an additional development involving Amazon and Rivian Automotive related to an ongoing EV parcel van delivery contract.

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COVID-19 and Ukraine Conflict Global Supply Chain News Capsule March 23 2022

Supply Chain Matters

Canadian Pacific is the sixth-largest North America freight railway, and in December 2021 completed an agreement to acquire U.S. based Kansas City Southern , pending full regulatory approvals which is expected sometime this year. Surface Transportation Board on the merger with Kansas City Southern. .

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America Adapting to Supply Chain Chaos

Operations and Supply Chain Management

The upswing was largely driven by trade between Asia and North America, where the volume of containers jumped 33% from the average level for the five years preceding the pandemic. The shipping industry, which accounts for 80% of world merchandise trade, had a record year in 2021 , with volume totaling 179.1 from 2020 and a 5.4%

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Intermodal Performance in March 2021

Freight Plus

The big news coming out of intermodal in March was the acquisition of Kansas City Southern by Canadian Pacific. Barring approval from the STB (Surface Transportation Board), this will create a rail network that encompasses all of North America. March 2021 - Transportation Market Report.

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This Week in Logistics News (March 20 – 26)

Logistics Viewpoints

According to the heads of bot rail companies, Canadian Pacific’s proposed acquisition of Kansas City Southern will result in new service lanes across North America.

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This Week in Logistics News (April 17 – 23)

Logistics Viewpoints

billion to one-up rival’s bid for Kansas City Southern railway. A bidding war is heating up for Kansas City Southern’s north-south rail network through the North American industrial corridor, with Canadian National Inc. (CN) Shortage of ocean containers shows no sign of easing. CN offers $33.7 billion offer.

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Spot market demand heats up out West

DAT Solutions

Volumes were also up from other markets with seaports, including Stockton and Los Angeles – which is home to the two biggest ports in North America. Also, farming machinery has not yet started to move in volume, leading to lower rates out of Rock Island, IL: The lane from Rock Island to Kansas City fell 64¢ to $2.33/mi.