CN and CSX Partner to Launch New Intermodal Rail Service into Nashville
Canadian National Railway Company (CN) and CSX Corporation, two of North America’s leading rail operators, have announced a significant step forward in their long-standing partnership. The two rail giants signed a Memorandum of Understanding (MOU) to jointly develop a new intermodal rail service that will connect Canada’s West Coast ports to Nashville, Tennessee, through Memphis.
The new service, which replaces the current trucking leg with a steel-wheel interchange, is designed to provide shippers with a faster, more reliable, and environmentally sustainable all-rail option. For customers moving international containers from Canada’s Pacific gateways, this marks an important milestone in strengthening connectivity into one of the fastest-growing freight hubs in the southeastern United States.
Expanding Market Reach Through Collaboration
Under the terms of the MOU, CN will handle the movement of international containers from its major West Coast gateways, such as Vancouver and Prince Rupert, down through its U.S. hub in Memphis. From there, CSX will take over the rail connection to Nashville, replacing what had traditionally been a trucking segment. By shifting this portion of the journey from road to rail, the two companies will reduce reliance on long-haul trucks, cutting carbon emissions and improving overall supply chain reliability.
“This agreement allows us to expand our reach, enabling our customers to efficiently access more markets,” said Janet Drysdale, Interim Chief Commercial Officer at CN. “Collaboration like this benefits everyone—railroads, customers, and communities—by driving growth, reliability, optionality, and sustainability.”
Drysdale emphasized that the partnership demonstrates CN’s commitment to customer-centric innovation. For CN, the deal is another step toward broadening its network reach beyond its traditional northern routes and into new U.S. destinations that are becoming increasingly critical for global supply chains.
CSX’s Commitment to Connectivity and Sustainability
From CSX’s perspective, the collaboration aligns with its ongoing efforts to work closely with interchange partners to deliver mutually beneficial solutions. By expanding intermodal options into Nashville, the railroad is creating new opportunities for shippers in the manufacturing, automotive, retail, and distribution sectors.
“At CSX, we’re committed to working with our interchange partners to create solutions that deliver mutual value and expand the options available to customers,” said Kevin Boone, Executive Vice President and Chief Commercial Officer at CSX. “This new service with CN provides a faster and more sustainable all-rail option into Nashville, helping shippers strengthen their supply chains while reducing truck traffic on our highways.”
Boone noted that Nashville is a critical growth market, both in terms of population and industrial development. With its strategic location in the southeastern United States, the city has become a growing logistics hub, serving as a gateway to regional and national distribution networks.
Building on a Proven Partnership
The new Nashville service builds upon CN and CSX’s successful history of collaboration. The two railroads already have a strong interline partnership serving key East Coast markets, including the ports of New York, New Jersey, and Philadelphia. That partnership, which began in 2019, has proven highly effective in providing seamless service to shippers moving freight across North America’s most important trade corridors.
By expanding their cooperation to include Nashville, CN and CSX are extending the benefits of interline rail solutions deeper into the U.S. Southeast. Both companies recognize that collaboration, rather than competition, is essential in meeting the complex demands of today’s global supply chains.
Why Nashville Matters
The decision to launch an intermodal service into Nashville is not coincidental. Nashville’s geographic location makes it a natural logistics hub. It sits within a day’s truck drive of more than 75% of the U.S. population, making it a critical distribution center for consumer goods, automotive parts, e-commerce shipments, and industrial freight.
In recent years, Nashville has experienced significant growth in population and business investment. Major corporations in healthcare, automotive manufacturing, technology, and retail have expanded their presence in the city. This surge in economic activity has driven increased demand for reliable and efficient freight solutions, making rail an attractive option.
With the new CN-CSX service, shippers will gain access to a direct, all-rail connection that bypasses highway congestion and reduces the risk of service disruptions. For industries with just-in-time supply chains—such as automotive and retail—the ability to count on reliable rail transit times is particularly valuable.
Sustainability at the Core
A key benefit of the new intermodal rail service is sustainability. By shifting freight from trucks to trains, shippers will significantly reduce their carbon footprint. Rail is widely recognized as one of the most energy-efficient modes of transportation, capable of moving one ton of freight more than 400 miles on a single gallon of fuel.
For both CN and CSX, this service supports their broader environmental, social, and governance (ESG) goals. CN has set ambitious emissions reduction targets aligned with global climate objectives, while CSX has consistently reported progress in improving fuel efficiency and lowering greenhouse gas emissions.
The introduction of a steel-wheel interchange into Nashville directly supports these goals by removing thousands of truck miles from highways each year, thereby cutting emissions, reducing congestion, and lowering wear and tear on public infrastructure.
Industry Implications
The launch of this service carries broader implications for the North American rail industry. Interline agreements like the one between CN and CSX are becoming increasingly important as railroads look to compete with the flexibility and speed of trucking. By pooling resources and integrating networks, rail carriers can provide customers with expanded service options without requiring costly mergers or acquisitions.
Moreover, the move highlights how railroads are responding to the ongoing challenges in global supply chains. From port congestion to driver shortages in the trucking industry, shippers are looking for dependable alternatives that can ensure goods move smoothly from origin to destination. Partnerships like this one demonstrate how railroads can step up to fill those gaps.
As CN and CSX work to finalize and implement the new service, customers can expect enhanced intermodal offerings that strengthen connectivity between Canada’s Pacific ports and the U.S. Southeast. Nashville’s role as a logistics hub is only expected to grow, and with this new rail option, the city’s importance in the North American supply chain will be further reinforced.
Both companies are optimistic that the new service will not only attract existing shippers but also bring new industries and customers to the rail network. For communities, the shift from truck to rail promises reduced traffic congestion, safer highways, and lower environmental impact.
In many ways, this collaboration represents the future of rail freight in North America: a focus on partnerships, sustainability, and customer-driven solutions.
The MOU signed between CN and CSX to launch a new intermodal rail service into Nashville is more than just a business agreement—it is a reflection of how railroads are adapting to the evolving needs of global supply chains. By providing a seamless, all-rail alternative from Canada’s West Coast ports into the U.S. Southeast, the two railroads are offering shippers a faster, more reliable, and greener transportation solution.
With proven collaboration on the East Coast already under their belts, CN and CSX are well-positioned to make the Nashville service a success. As freight demand grows and sustainability becomes an ever-greater priority, initiatives like this will set the standard for how railroads deliver value to customers, communities, and the environment.