{"id":36,"date":"2020-02-18T02:14:30","date_gmt":"2020-02-18T07:14:30","guid":{"rendered":"http:\/\/pflpetroleum.com\/reports\/?p=36"},"modified":"2023-07-28T11:08:38","modified_gmt":"2023-07-28T15:08:38","slug":"pfl-railcar-report","status":"publish","type":"post","link":"https:\/\/pflpetroleum.com\/reports\/pfl-railcar-report\/","title":{"rendered":"PFL Railcar Report 2-18-2020"},"content":{"rendered":"\n

The latest and greatest on Coronavirus<\/strong><\/h3>\n\n\n\n

Health officials in China have published the first details on nearly 45,000 cases of the coronavirus<\/strong> that originated there, saying more than 80% have been mild cases and new ones seem to be falling since early this month, although it’s far too soon to tell whether the outbreak has peaked.<\/p>\n\n\n\n

Yesterday\u2019s report from the Chinese Center for Disease Control and Prevention gives the World Health Organization a “clearer picture of the outbreak, how it\u2019s developing and where it\u2019s headed,\u201d WHO’s director-general said at a news conference.<\/p>\n\n\n\n

China Return to Work Levels by Province- Source: Cleveland Research<\/h4>\n\n\n
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\"China<\/figure>\n<\/div>\n\n\n

Total North American Rail Volumes<\/strong><\/h3>\n\n\n\n

Total North American rail volumes were down 3.8% year over year in week 6<\/strong> (U.S. -6.6%, Canada +3.5%, Mexico +9.9%), resulting in quarter to date volumes that are down 3.9% (U.S. -5.8%, Canada -0.7%, Mexico +12.0%). 5 of the AAR’s 11 major traffic categories posted year over year declines with the largest decreases coming from intermodal (-6.3%), coal (-15.9%) and nonmetallic minerals (-4.2%). The largest increases came from petroleum (+26.6%), farm products & food (+10.1%) and metallic ores & metals (+2.8%).<\/p>\n\n\n\n

In the East<\/h4>\n\n\n\n

CSX\u2019s total volumes were down 4.0%<\/strong>, with the largest decreases coming from coal (-21.3%) and nonmetallic minerals (-31.1%). NS\u2019s total volumes were down 11.5%<\/strong>, with the largest decreases coming from intermodal (-12.8%) and coal (-26.4%).<\/p>\n\n\n\n

In the West<\/h4>\n\n\n\n

BN\u2019s total volumes were down 2.0%<\/strong>, with the largest decreases coming from intermodal (-6.2%) and stone sand & gravel (-36.9%). The largest increases came from grain (+10.4%) and chemicals (+11.7%). UP\u2019s total volumes were down 7.8%<\/strong>, with the largest decreases coming from intermodal (-14.9%) and coal (-27.3%). The largest increase came from petroleum (+48.3%).<\/p>\n\n\n\n

In Canada<\/h4>\n\n\n\n

CN\u2019s total volumes were up 2.1% with the largest increases coming from petroleum (+52.9%) and metallic ores (+10.9%). RTMs were up 9.2%. CP\u2019s total volumes were up 7.5%, with the largest increase coming from petroleum (+87.6%). The largest decrease came from coal (-27.7%). RTMs were up 10.6%.<\/p>\n\n\n\n

CN is effectively shut down<\/h3>\n\n\n\n

Folk\u2019s the biggest story of last week is what is going on in Canada<\/strong>. CN is on their knees begging Ottawa and the Justin Trudeau government to do something quickly. CN is effectively shut down because protesters are putting themselves in harm\u2019s by blocking the railroad over an approved pipeline project. Why pick on the railroad \u2013 why not protest at JC Penny? It makes no sense!<\/p>\n\n\n\n

The Blockades on CN began on February 6<\/strong><\/h3>\n\n\n\n

The blockades on CN began on February 6 in response to the government\u2019s approved plan to build a $5 billion Coastal GasLink natural gas pipeline that crosses the traditional territory of the Wet’suwet’en First Nation near Houston, British Columbia<\/strong>. The protests at railway came in response to the Royal Canadian Mounted Police (RCMP) raiding camps set up by the Wet\u2019suwet\u2019en Nation at the pipeline construction site. Dozens were arrested in that raid.<\/p>\n\n\n\n

CN announced Thursday of last week a progressive and orderly shutdown of its lines in eastern Canada. This came after authorities failed to enforce court orders to end \u201cillegal\u201d blockades across Ontario, Manitoba, and British Columbia.<\/strong><\/p>\n\n\n\n

CN said – \u201cThis situation is regrettable for its impact on the economy and on our railroaders as these protests are unrelated to CN’s activities, and beyond our control.\u201d<\/strong><\/p>\n\n\n\n

Passenger Trains were Also Affected<\/h4>\n\n\n\n

VIA Rail, the passenger train service that relies on CN\u2019s infrastructure, subsequently suspended service on 150 trains that traveled between Toronto, Ottawa and Montreal, the Globe and Mail reported<\/strong>. About 250,000 passengers had already faced cancellations after a massive demonstration blocked VIA Rail\u2019s major line in the Montreal-Toronto-Ottawa triangle, the Wall Street Journal reported.<\/p>\n\n\n\n

\u201cIn addition to preventing access to public transportation for tens of thousands of individual Canadians, these disruptions severely limit the movement of perishable foods and other consumer items such as grain, construction materials and propane for Quebec, Atlantic Canada, and the U.S. N.E.\u201d President and CEO of the Canadian Chamber of Commerce Hon. Perrin Beatty wrote in the letter last Wednesday addressed to the country\u2019s ministers of transport and innovation, science and industry.<\/p>\n\n\n\n

\u201cA rail disruption of this magnitude constitutes an emergency for the Canadian economy,\u201d it said.<\/strong><\/p>\n\n\n\n

The impact to rail traffic is going to be huge in the days to come and the impact on the Canadian economy is going hit hard. This situation needs to get resolved quickly and has already gone on for far too long.<\/p>\n\n\n\n

Kansas City Southern<\/strong><\/h4>\n\n\n\n

KCS\u2019s total volumes were up 5.9%<\/strong>, with the largest increases coming from intermodal (+17.0%) and petroleum (+28.3%). The largest decrease came from coal (-27.4%).<\/p>\n\n\n\n

North American Rig Count<\/h3>\n\n\n\n

North American Rig count is down 2 rigs week over week<\/strong> with the U.S. flat and Canada losing 2 rigs week over week. Year over year we are down 230 Rigs<\/strong> collectively.<\/p>\n\n\n\n

North American Rig Count Summary<\/h4>\n\n\n
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Hot Markets<\/h2>\n\n\n\n

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