FREIGHT RAILROAD KEY FACTS

  • Freight rail is the safest way to move goods over land.
  • It delivers essential raw materials and finished goods nationwide, supporting jobs, industries, and daily life.
  • With $23 billion privately invested annually, it strengthens infrastructure without taxpayer dollars.

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America’s freight railroads combine human expertise with technology to drive economic growth and innovation. As the industry evolves, this integration strengthens the workforce, supports communities, and ensures reliable service for customers and consumers alike. In 2023, freight rail contributed $233.4 billion to the economy, with each rail job supporting 3.9 additional jobs. Serving key industries, railroads invest billions in infrastructure, creating jobs, strengthening supply chains, and connecting businesses globally.

Looking ahead, railroads are advancing sustainability and technology to enhance efficiency and reduce emissions. They provide cost-effective, essential transportation while passenger trains improve mobility, keeping goods affordable and daily life moving.

Private investments power the freight rail network.

Since 1980, freight railroads have invested $810 billion—over $23 billion annually—to maintain and enhance the safest, most efficient freight network. These private investments reduce reliance on taxpayer dollars, easing congestion, lowering road maintenance costs, and strengthening the network to support business growth, customer needs, and climate resilience.

Freight railroads are the safest way to move freight over land.

Railroads collaborate daily with employees, suppliers, customers, and officials to ensure network and community safety. Their holistic approach includes modernizing infrastructure, training employees, advancing technology, supporting first responders, and securing physical and digital networks. Billions in annual private investments drive these efforts and have helped reduce the Class I mainline accident rate 43% since 2005.

Freight rail employees have some of America’s safest and highest-paying jobs.

Freight rail employees are highly skilled professionals who are among the best-compensated workers in the nation. The average Class I railroad employee’s annual pay and benefit package is valued from $135,000 to almost $190,000. Always prioritizing safety, the freight rail industry is one of the safest industries to work in the nation; its even safer than grocery stores. And as a vital partner in U.S. military operations for nearly 200 years, railroads actively hire veterans.

Rail is the backbone of America’s economy.

In 2023, rail generated $233.4 billion in economic output, with Class I railroads investing $26.8 billion to modernize infrastructure, enhance safety, and improve reliability. Every $1 invested drives $2.50 in economic activity, and every rail job supports nearly four more across manufacturing, logistics, and technology. With 153,000 direct employees and 749,000 supported jobs nationwide, rail delivers high-paying careers, contributes $14.1 billion in retirement benefits, and remains a pillar of America’s competitiveness and resilience.

Freight railroads deliver for nearly every industry across America.

Operating across 49 states and D.C., railroads form a vital national network, moving goods essential to the economy and daily life. They transport intermodal containers, chemicals, agricultural products, autos, construction materials, pulp, paper, and energy resources like ethanol, crude oil, and coal. By ensuring efficient freight movement, railroads sustain America’s economy and keep the global supply chain running smoothly.

Freight railroads use technology to improve safety and efficiency.

Freight railroads are at the forefront of technological advancement, integrating predictive analytics, automation, AI, and inspection systems to enhance safety, efficiency, and sustainability. With billions invested in infrastructure and technology, railroads are modernizing operations to meet the evolving demands of global supply chains while reducing environmental impact.

Freight rail is good for the environment.

Freight railroads are the most fuel-efficient way to move goods over land, transporting one ton of freight nearly 500 miles on a gallon of fuel. Engaging in technology, operational, and collaborative efforts, they work to reduce their already small share of greenhouse gas emissions from their yards and locomotives.

Chicago is the largest freight rail hub.

Chicago, the nation’s busiest rail hub for 150 years, is served by all six U.S. Class I railroads but faces growing congestion as freight and passenger demand rises. The CREATE Program, a gold-standard public-private partnership, enhances transportation efficiency, reduces congestion, improves air quality, and drives economic growth.

The national rail network is made up of three types of rail systems.

Three types of rail systems (intercity passenger, commuter and freight) operate on the national rail network. Together, these trains help deliver economic growth, support job creation, provide crucial environmental benefits and increase our nation’s productivity and competitiveness. Freight railroads provide 70% of the train-miles operated by Amtrak, providing the literal foundation for this important passenger rail service.