Intermodal Booms: Best 3 Months EVER for Rail Freight

North American rail traffic is on a roll! The latest AAR monthly outlook reveals the best three months for intermodal EVER, culminating in an all-time high in October. This broad-based strength, beyond just market share gains from trucks, signals a robust industrial economy. Despite inflation and rising interest rates, rail volumes are projected to continue growing into 2027. We break down the key numbers from carloads to commodities and discuss the Genesee & Wyoming split.

U.S. intermodal rail traffic set an all-time monthly record in October, the third consecutive month of record volumes, the Association of American Railroads reported in its latest Rail Industry Overview. The 9.6% year-over-year gain far outpaced the 4.9% growth rate recorded for the year to date, underscoring a sustained surge in demand that the AAR attributed to broad industrial strength rather than simple market share gains from trucking.

The October numbers carry weight beyond a single data point. Carload traffic rose 3.4% year over year — the largest percentage increase in eight months, the AAR said. Excluding coal, carloads climbed 4.5%, well above both the year’s average and the 2021-to-2025 average of 1.7%. Fifteen of 20 carload commodity segments posted year-over-year gains in October, and 16 of 20 are positive for the year to date, signaling strength across the industrial economy.

This story was originally published by FreightWaves. Read the full story at FreightWaves →