BNSF Hit With Complaint Over Grain Train Rate Hikes Up to 472%

Key Details Union Pacific filed a 129-page complaint with the Surface Transportation Board alleging that BNSF Railway canceled long-standing reciprocal switching rates for grain unit trains and other commodities. BNSF increased switching charges dramatically at multiple locations, with some rate hikes reaching 472% at Grand Island, Nebraska. Why It Matters The rate changes directly target locations where UP has recently won or grown business from customers on BNSF lines. UP contends BNSF made these changes with little warning to force shippers back to BNSF service by making UP routes uncompetitive. Unit grain trains previously switched at $105 per car now face rates as high as $295 per car at certain locations - a 281% increase. What's Next UP asked the STB to rule BNSF's actions unreasonable and unlawful, and to mandate reciprocal switching agreements at terminal locations. BNSF rejected the complaint as meritless, claiming it simply updated rules over a decade old. The regulatory battle highlights ongoing competitive tensions between the two Class I carriers.