Canada rail embargoes intensify ahead of potential stoppage
Canada’s major rail carriers are imposing more freight embargoes as they prepare for a potential work stoppage later this month, according to service notices issued Tuesday.
Canadian National Railway said it will impose an intermodal embargo on U.S. shipments destined for Canada on its network beginning at 12:01 a.m. EDT Friday.
Meanwhile, Canadian Pacific Kansas City outlined limits for refrigerated container movements that would start on Wednesday, Thursday, Friday or Sunday, depending on the shipment’s origin. As an example, Wednesday is the last day for some equipment starting in Vancouver, whereas refrigerated containers starting in Laredo, Mexico, have until Sunday to ship.
The latest moves by CN and CPKC come a day after each railroad embargoed shipments of hazardous items.
Both railroads are taking these measures in response to potential strike action by members of the Teamsters Canada Rail Conference. The union’s contract with the railroads expired at the end of last year, and while previously stalled talks reopened last week, all parties are currently at an impasse. If no deal is reached, a potential work stoppage could occur as early as Aug. 22 following a Canada Industrial Relations Board ruling last week.
The labor strife escalation between Canada’s major railroad operators and the union has put logistics contingency planning into overdrive to curtail potential supply chain disruptions.
