WASHINGTON, D.C. – June 9, 2026 – Association of American Railroads (AAR) President and CEO Ian Jefferies testified today before the Senate Commerce, Science, and Transportation Subcommittee on Surface Transportation, Freight, Pipelines, and Safety on how technological advances are driving transportation innovation.
In his remarks, Jefferies emphasized that technology has led to record-breaking safety gains across the freight rail industry, while empowering railroaders with better information and more tools to make our network safer, more efficient, and reliable. He also underscored the critical role mode-neutral policy and flexible regulations play in creating an industry conducive to innovation and urged policymakers to embrace investment and new technologies over prescriptive, legacy regulations.
Jefferies’ full oral testimony is available below:
Good morning, Chairman Young, Ranking Member Peters, and other members of the subcommittee. Thank you for the opportunity to testify today.
Today’s hearing comes at an important moment for American transportation. Next year, believe it or not, freight railroads will mark 200th anniversary—an industry grounded in history but being rapidly transformed by innovation.
The modern rail network increasingly relies on AI-assisted inspections, machine vision, predictive analytics, advanced sensors, and real-time data. These tools help identify risks earlier, improve safety across the 140,000-mile network, and enhance service reliability.
And the results are clear. According to the Federal Railroad Administration, 2025 was the safest year on record across key measures, including derailment rate, equipment- and track-related accidents, and importantly, employee injuries. This progress reflects sustained investment, employee expertise, and continuous innovation.
And that leads to my first point: technology is driving record safety gains that will be essential to the next leap forward. The future of rail safety depends on detecting issues before they become failures.
And we’re seeing this across the industry. At BNSF, systems collect real-time track data during regular service, while AI-enabled tools identify defects earlier than traditional methods. And together with rail temperature monitoring, they enable a fully data-driven inspection model.
CSX uses advanced detection technology that combines GPS, cameras, radar, and lidar to monitor work zones to automatically stop movement when risks are identified.
Norfolk Southern deploys AI-powered imaging portals that scan railcars at track speed and flag defects in near real time. Technology now identifies 75 percent of mechanical defects on that railroad.
Union Pacific uses machine vision and AI to analyze large data sets, detect patterns, and predict maintenance needs months in advance—allowing more targeted, preventive action.
Other railroads are advancing similar innovations. CN uses automated inspection systems and ground-penetrating radar, while CPKC applies optical technology to detect early-stage defects. Across the industry, technology is expanding both the reach and precision of inspections.
And these tools support—not replace—railroad employees giving them better information to improve safety and operations.
Which leads to my second point: when policymakers consider technology, I ask that they take a mode-neutral approach to transportation technology. Advanced tools are reshaping freight movement across not only rail, but trucking, maritime, and logistics writ large. And rail should not be treated differently simply because it is an established industry or because innovation challenge legacy assumptions.
Federal policy should encourage innovation based on measurable outcomes—not restrict through outdated frameworks or preferences.
Third, rail needs a regulatory system that keeps pace with innovation. Much of today’s regulatory structure was developed five decades ago and does not reflect modern technologies or operating practices.
Railroads now have more advanced ways to meet safety goals, yet regulations often prevent those methods from being used to satisfy requirements. At the same time, we’re seeing legislative proposals that could lock in legacy practices, or double down on legacy practices, risking slowing down progress at a time when innovation is thriving.
If we want continued safety improvements, affordability, and supply chain resilience, policy must enable investment and support development and deployment of new technologies—not discourage them. Let data guide decisions and safety outcomes—not rigid inputs.
Freight rail operates one of the world’s most interconnected systems and invests roughly $23 billion annually in infrastructure, equipment, and technology. The question is whether policy will support that progress.
And this is not just about transportation—it is about American competitiveness. Rail moves about 40 percent of long-haul freight and supports critical industries across the economy. The technologies being deployed today will determine how effectively rail continues to do so.
And so, if we want a rail system that is safer, stronger, and ready for the next century, we must allow innovation to lead the way. The choices made here will determine whether progress accelerates—or stalls. Let’s make sure it accelerates.
Thank you, and I look forward to your questions.
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