US weekly coal carloads fall 4% on week, 18.3% on year: AAR

Houston — US coal carload originations fell to 48,930 in the week that ended July 4, down 4% from 50,961 a week earlier and also 18.3% lower than a year ago, according to a July 8 report from the Association of American Railroads.

It was the first back-to-back weekly decrease since the weeks ended April 25 and May 2.

The latest week was down 35.9% from the five-year average and was the lowest total for the corresponding week in more than 10 years.

Coal carloads represented 11.2% of all the traffic on US railways, up from 11.1% a week earlier and 13.4% in the year-ago week, according to the data.

Since January 1, cumulative coal carloads are at 1.52 million, down 27.1% from the same period a year ago.

Coal originations on Canadian railroads — including the US operations of Canadian National, which serves several mines in the Illinois Basin — fell to a 21-week low 4,777 carloads, down 29.1% from a week earlier and 41.2% below the year-ago week.

Of the four major Class I railroads — Norfolk Southern, CSX, Union Pacific, and BNSF — CSX was the only one to see a week-on-week decrease. However, all four saw yearly decreases.

BNSF reported 24,839 coal carload originations and interchanges in the latest week, up 0.9% from the prior week but 15.9% below the year-ago week, according to rail-reported data.

So far in 2020, total BNSF carloads are up to 702,432, down 21% from the same period a year earlier.

Union Pacific reported an 18-week high 14,358 coal carload movements in the most recent week, up 7% from the previous week, but 5.4% lower year on year. It was the highest weekly total since 15,514 in the week ended February 29.

Cumulative coal carloads so far in 2020 for UP are at 374,175, down 23.6% from the same period a year ago.

CSX coal carloads tumbled to over a 10-year low 5,525, down 36.7% week on week and 47.7% lower than the year-ago week. The 36.7% was the sharpest week-on-week decrease since 39.4% in the week ended December 29, 2018.

Since January 1, CSX coal carloads have totaled 292,662, down 30.7% from a year ago.

Norfolk Southern reported a five-week high 8,669 coal cars loaded in the latest week, up 3.7% from the prior week, but down 26.5% year on year.

Total coal carloads for NS are at 269,747 since January 1, down 44.1% from the same period a year ago.