Norfolk Southern and Union Pacific are teaming up to deliver Hapag-Lloyd international containers from the Port of Virginia to destinations on the West Coast.
The new service, said to be a first and dubbed OceaNS Bridge Express, was announced on Wednesday but was launched in April. Importers are struggling with congestion that has caused lengthy delays at the ports of Los Angeles and Long Beach and other West Coast ports.
“We are providing a sustainable and effective coast-to-coast solution to the challenges shippers currently face at West Coast ports,” Shawn Tureman, NS vice president of intermodal and automotive marketing, said in a statement.
“The current environment has led shippers and carriers to think creatively about moving their goods,” Tureman said. “In response, our team took a customer-centric approach by formulating a partnership with Hapag-Lloyd and Union Pacific, providing a new option for shipping to markets in the Western United States.”
The service originates at the Norfolk International Terminal at the Port of Virginia. NS interchanges the traffic with Union Pacific in Chicago, with connections to Seattle, Oakland, and Los Angeles and Long Beach.
“This is an innovative decision by one of our long-time customers to take advantage of our efficiency and our rail reach into the Midwest,” Stephen A. Edwards, CEO and executive director of the Virginia Port Authority, said in a statement. “It’s a unique service, but it is indicative of a very challenging trade environment. We welcomed the opportunity to be part of the solution for cargo owners on the West Coast.”
The service began operating in mid-April with the arrival of the Synergy Antwerp at Norfolk International Terminals. NS hauled nearly 1,000 of the vessel’s containers to Chicago, the port said.
“Union Pacific’s intermodal network is strategically positioned to provide container shippers an alternative with this overland service to the West Coast,” Kari Kirchhoefer, vice president of premium marketing and sales at UP, said in a statement.
The weekly service uses eight Panamax vessels that call at European and Mexican ports before stopping at Houston and Virginia. Last year the Virginia ports handled nearly 2 million containers, 640,000 of which moved inland via rail. NS and CSX both serve the port.
Intermodal analyst Larry Gross says the service makes sense for European trade as well as so-called jump ball cargo that originates in Southeast Asia and could take an all-water route to the West Coast or land on the U.S. East Coast via the Suez Canal.
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