CN files description of conditions to preserve Midwest rail competition

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Canadian National Railway (CN) has filed its description of the anticipated conditions it plans to seek in the proposed merger of Union Pacific (UP) and Norfolk Southern (NS).

In its filing with the Surface Transportation Board, the railway proposed conditions that would give customers greater access to CN’s service while strengthening rail competition in key Midwest markets. The filing builds on the Memorandum of Understanding between CN and UP announced in July that established a framework for CN to secure access to new locations as a remedy for the harms the merger poses. The railway said the conditions are designed to preserve meaningful competition and customer choice.

“Competition matters because it supports better service, stronger customer options and incentivizes investment. The conditions we are proposing would preserve competitive access in key Midwest markets, expand CN’s reach and create additional opportunities to grow with our customers,” Olivier Chouc, Sr. VP and Chief Legal Officer of CN, said.

The proposed conditions would connect CN’s network to key areas in St. Louis and Kansas City while preserving competitive rail options for shippers in Des Moines, Iowa and in central and southern Illinois. Without the proposed conditions, those areas would see the number of Class I railroads serving their facilities reduced as a result of the merger, CN officials said.

The proposed conditions also include preserving competitive options for 2 to 1 shippers in Illinois and Iowa, preserving competitive options for 3 to 2 shippers in Iowa; new access in Kansas City; and improved access to East St. Louis, Illinois, and St. Louis, Missouri. CN said it believes these conditions will address competitive harms from the proposed transaction while strengthening competition across the Midwest and providing shippers with additional service and routing options.

The conditions remain subject to STB approval and the closing of the proposed merger. Formal requests for the conditions are due Nov. 18, 2026.