Canadian National Railway (CN) and Union Pacific signed a binding memorandum of understanding to enhance North American rail connectivity.
Union Pacific will expand its operating rights on CN’s Chicago corridor. CN gains new access to Union Pacific lines between Memphis and Eagle Pass, Texas, to facilitate freight flows between Canada and Mexico.
The agreement aims to reduce transit times and increase routing options for continental shippers. This expanded access strengthens CN’s competitive position in the North American freight market.
CN also agreed to drop its opposition to the proposed Union Pacific and Norfolk Southern merger. In exchange, CN will receive access to new customers and ownership stakes in two terminal railroads if the merger is approved.