Demand for Rail Strong, Expected to Rise
8 Jun 2022
Like most industries, rail has its share of issues to address: cost controls, supply chain issues, worker availability, the decline of coal, an interesting juxtaposition with the trucking industry and the ubiquitous issue of competition.
Still, long-term, demand for freight transportation – for commodities other than coal – is expected to grow as the population and economy expand. The growth rate, which is projected by most economists to rise about two percent annually, supports the U.S. Department of Transportation estimate of total freight demand growth of 35 percent by 2040.