US weekly chemical railcar traffic falls 5.0%, Canada falls 0.9%

HOUSTON (ICIS)–US and Canadian chemical railcar shipments fell for the week ended 16 May, but Mexican shipments rose, the Association of American Railroads (AAR) said on Wednesday.

US chemical railcar traffic fell 5.0% year on year to 29,417 loadings, following an 0.6% increase the week before. For the first 19 weeks of 2015 ended 16 May, loadings were up 0.8% to 583,263, the AAR said.

The logistics data are an important real-time measurement of chemical industry activity and demand. Railcar loadings represent about 20% of US chemical transportation by tonnage, with trucks, barges and pipelines carrying the rest.

Overall US railcar loadings for the week in the freight commodity groups tracked by the AAR fell 10.0% year on year to 269,092, with shipments in all groups except motor vehicles and parts decreasing.

Canadian chemical railcar traffic fell 0.9% year on year to 12,217 loadings for the week but was up 5.1% to 229,499 loadings for the first 19 weeks. Canadian chemical producers rely on rail to ship more than 70% of their products, with many relying exclusively on rail.

Mexican chemical railcar traffic rose 3.3% year on year to 1,349 loadings for the week, but was down 17.7% to 21,797 loadings for the first 19 weeks, the AAR said.