US freight railroads used to carry a larger variety of goods and serve a larger variety of customers than they do today. They were never in the business of delivering finished goods directly to retail stores, but they did transport a large amount of single-carload and less-than-carload deliveries between factories and warehouses. This is why if you visit older industrial areas you will see train tracks everywhere, including in the middle of the street and sometimes directly into buildings.
When the trucking industry was deregulated in 1980, trucking companies undercut railroads on low-volume high-profit routes, leaving the railroads to focus on low-value bulk goods like coal. The total volume of freight actually went up, but both revenue per unit and gross revenue fell. The railroads struggled to justify the cost of maintenance on now less busy lines, so they abandoned many of them and neglected the maintenance on others. That made it impossible to win back the lost business from the trucking industry even as the cost of trucking skyrocketed. Everyone is now worse off except for the owners of the trucking companies.
As for Switzerland, they invented a special kind of shipping container and that can be loaded/unloaded from a train or truck with no need for a crane. This allows them to make carload and intermodal deliveries without building any new infrastructure.
US freight railroads used to carry a larger variety of goods and serve a larger variety of customers than they do today. They were never in the business of delivering finished goods directly to retail stores, but they did transport a large amount of single-carload and less-than-carload deliveries between factories and warehouses. This is why if you visit older industrial areas you will see train tracks everywhere, including in the middle of the street and sometimes directly into buildings.
When the trucking industry was deregulated in 1980, trucking companies undercut railroads on low-volume high-profit routes, leaving the railroads to focus on low-value bulk goods like coal. The total volume of freight actually went up, but both revenue per unit and gross revenue fell. The railroads struggled to justify the cost of maintenance on now less busy lines, so they abandoned many of them and neglected the maintenance on others. That made it impossible to win back the lost business from the trucking industry even as the cost of trucking skyrocketed. Everyone is now worse off except for the owners of the trucking companies.
As for Switzerland, they invented a special kind of shipping container and that can be loaded/unloaded from a train or truck with no need for a crane. This allows them to make carload and intermodal deliveries without building any new infrastructure.
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