AAR Reports 8.5% Growth In US Rail Freight For October

WASHINGTON, D.C. – United States freight rail operators transported 540,135 carloads and intermodal units during the week ending October 17, registering an 8.5% increase compared to the corresponding period in 2025. Weekly intermodal traffic surged 12.6% to 308,015 containers and trailers, while carload volumes expanded 3.5% to 232,120 units. Across North America, cross-border traffic displayed stark divergence, marked by a 43.6% intermodal increase on Mexican lines alongside mixed operational returns across Canadian trackage.

What Is the Full Scope of This Development?

Total weekly rail freight movements across the United States reached 540,135 units, driven by positive volume gains in nine of the ten primary carload commodity groups monitored by the Association of American Railroads. Metallic ores and metals demonstrated the strongest carload growth, rising 14.5% year-on-year to 23,306 carloads, followed by grain traffic expanding 7.0% to 22,486 carloads, and non-grain farm products and food advancing 6.2% to 18,776 carloads. The sole carload contraction occurred in nonmetallic minerals, which dropped 3.2% to 32,428 carloads. Regionally, Canadian railways moved 95,392 carloads (up 3.3%) and 73,389 intermodal containers (down 0.7%), while Mexican railroads handled 11,522 carloads (down 1.6%) and 14,277 intermodal units (up 43.6%). Total aggregated North American volume for the seven-day period reached 734,715 carloads and intermodal units across the three national systems.

Key Development Data

How Does This Compare to Industry Trends?

The 8.5% weekly gain outpaced historical performance figures recorded earlier in the operational cycle, demonstrating an acceleration in intermodal conversion from highway trucking. For full-year 2025, U.S. rail operators handled 25.6 million carloads and intermodal units, representing a modest annual gain of 1.5% compared to 2024 levels (Source: Association of American Railroads, 2025). Weekly momentum increased through mid-2026: total weekly volume grew 2.4% year-on-year for the week ending August 1 to 526,410 units, bolstered by 293,239 intermodal containers (Source: FreightWaves, 2026). Earlier comparative milestones showed container volume growth accelerating from a 7.2% year-on-year increase during the week ending July 18, reaching 297,017 units, to double-digit gains by October (Source: FreightWaves, 2026). At the global macro level, the freight railway market held a baseline valuation of USD 325.0 billion to USD 370.0 billion in 2025, maintaining a projected compound annual growth rate of 4.5% (Source: Grandview Research, 2025; Source: Future Market Insights, 2025).

Note: Independent verification of cumulative 41-week aggregate freight volumes was not available at time of publication.

Editor’s Analysis

Intermodal gains exceeding 12% indicate shippers are shifting consumer and manufactured goods back onto rail corridors ahead of peak maritime freight cutoffs. Mexican intermodal growth of 43.6% underscores persistent nearshoring cargo movement through southern border gateways, even as industrial bulk carloads remain volatile. Rail operators must sustain cycle times to retain these truck-to-rail conversions as the wider global freight transport sector expands at a projected 4.5% annual rate through 2030 (Source: Future Market Insights, 2025).

FAQ

Q: What was the primary driver behind the U.S. freight volume increase?
A: Growth was concentrated in domestic and international container traffic, which climbed 12.6% to 308,015 intermodal units. Metallic ores and metals also registered high carload activity, up 14.5% to 23,306 carloads.

Q: How did Canadian and Mexican freight railways perform during the same week?
A: Canadian operators moved 168,781 total units, reflecting a 3.3% gain in carloads but a 0.7% slip in containers. Mexican carriers handled 25,799 total units, where a 43.6% jump in intermodal freight offset a 1.6% dip in carloads.

Q: What rail commodity recorded the largest volume reduction?
A: Nonmetallic minerals was the only tracked carload sector in the United States to decline, falling 3.2% year-on-year to 32,428 units. Detailed operational rationale for this subcategory drop was not officially confirmed by the AAR.