December 21, 2025 - TRA Newswire -
Union Pacific Corporation (NYSE: UNP) and Norfolk Southern Corporation (NYSE: NSC) Friday filed an application with the Surface Transportation Board (STB) requesting approval to combine the two railroads. The companies entered into a merger agreement on July 29, 2025, to create America’s first transcontinental railroad.
The nearly 7,000-page application provides comprehensive and compelling new details on how the end-to-end combination will enhance competition and deliver broad public benefits. The application includes a record-breaking 2,000 letters of support from stakeholders, joining shareholders at both companies who cast votes that were 99% in favor of the merger.
While the nation's largest rail union, hundreds of shippers and President Donald Trump look favorably on the merger, the Brotherhood of Locomotive Engineers and Trainmen and the Brotherhood of Maintenance of Way Employees Division are critical of the decision, along with competitor BNSF Railway, the American Chemistry Council, and some agricultural groups that raise concern the merger would reduce competition.
The Rail Passengers Association expressed deep concern over the application that raises questions for the long-term future of the U.S. rail network for tens of millions of rail passengers. [stb.gov]. Millions of Americans rely on intercity and commuter trains that operate over Union Pacific and Norfolk Southern rights‑of‑way. This merger introduces dramatic uncertainty for those passengers, as past consolidations have often led to service disruptions, reduced access, and diminished accountability for host railroads. “Passenger trains depend on fair and reliable access to freight‑owned tracks,” said Jim Mathews, President & CEO of Rail Passengers Association. “A merger of this scale could jeopardize that access and undermine decades of progress toward a more connected national rail network. The STB must ensure that passenger rights and public mobility are not sacrificed in the name of shareholder gains.”
Union Pacific CEO Jim Vena pointed out that a coast to coast railroad would move freight more efficiently, eliminating an estimated 2,400 rail car and container handlings and 60,000 car-miles that occur each day at hand-off rail yards in the Midwest.
“We look forward to working with the Surface Transportation Board as it reviews our historic application to create America’s first transcontinental railroad,” said Union Pacific CEO Jim Vena. “As time and technology continue to transform how freight is delivered, our industry must keep pace and move forward, reaching underserved markets with new rail solutions and strengthening the U.S. supply chain. Customers deserve stronger, more connected freight rail, and our merger will make that happen.”
In a statement, Union Pacific pointed out that America’s first transcontinental railroad would retain competitive shipping alternatives for the three customer locations out of more than 20,000 that are served by Union Pacific and Norfolk Southern but no other carrier. The railroad would compete more effectively with long-haul trucking, converting an estimated 2 million truckloads of freight from road to rail annually.
All union jobs would be protected, according to the filing – every employee with a union job at the time of the merger will continue to have one, and growth of the combined company is expected to create about 900 net new union jobs by the third year following the merger.
The merged railroads would invest an estimated $2.1 billion of incremental capital to support revenue and cost synergies, and expect $133 million in annual capital synergies. Customers would experience a unified digital experience, with one accountable partner for their entire rail journey, rather than waybills from two or more railroads.
“This combination will bring together Union Pacific’s expansive Western reach and Norfolk Southern’s unparalleled access to Eastern manufacturing and population centers in an end-to-end combination,” said Norfolk Southern President and CEO Mark George. “It will create a cohesive freight rail solution with 50,000 route miles that connect 43 states and more than 100 ports.”
Photo credit: Union Pacific Railroad