This article outlines why intermodal is not such a good option for US distribution. Though the trucking market is ‘maxed-out’, meaning it is hard to get a trucking firm to move a container, rail is having its own congestion and shortage difficulties.
And chassis remain a problem area. Most leasing companies, who own the chassis, prefer large long-term deals with ocean carreirs rather than shorter term deals for local movements in the US. The article refers to the trucker-owned chassis pool in the Midwest, which seems to be shunned by the leasing companies, creating a shortage of chassis for containers.
Today, we can’t find any area of logistics that isn’t suffering over something. A far cry from a year or two ago.
A backlog of over 50 trains is clogging the China – Europe rail route known as the New Silk Road. As a result costs to ship a container to Europe are rising fast. And delays are a mater of weeks.
If this route is to be viable competition for ocean shipping it must fix the problems. are they easier to fix for rail than for ocean shipping? I’m not sure they are. Look at the trouble the Asia-US-Europe land bridge service has had in Chicago.