Senators express concern about UP-NS merger's impact on ag producers

A bipartisan group of U.S. senators has asked the Surface Transportation Board to rigorously review Union Pacific Railroad's proposed acquisition of Norfolk Southern Railway when the board receives the railroads' application for approval.

Led by Sens. John Hoeven (R-N.D.) and Amy Klobuchar (D-Minn.), the senators asked the board in a letter to thoroughly evaluate the potential impact on long-term rail competition, especially service for farmers. 

"In conducting its review, we strongly encourage the STB to take into consideration the impact the proposed merger, if approved, may have on our nation’s agricultural producers, and on the STBs mandate to preserve long-term competition and ensure efficient, economically viable rail service," the senators wrote.

The letter was released by the American Chemistry Council, a trade association that represents chemical manufacturers. The ACC, in representing chemical manufacturers that ship their products by rail, has expressed concerns about how the merger might affect rail service and the supply chain.

UP CEO Jim Vena has said the Class I aims to file the merger application before December. The STB remains closed during the federal government shutdown.