Panel: Railroads have lots of questions, some skepticism about zero emissions

WASHINGTON — While global transportation transitions to a cleaner future fueled by alternative power sources, North American railroads have fewer good options outside of diesel fuel.

“We love diesel; we like to take showers in diesel,” joked Michael Nicoletti, a partner at Innovative Rail Technologies (IRT), at “Toward Zero Emissions in Rail: Lessons Learned,” a panel discussion held at the Transportation Research Board’s 124th annual meeting here.

Nicoletti’s observation underscored a fundamental truth about freight railroading as it’s configured in the United States: No cheap, easily produced substance packs the same power per molecule as the fractional distillate of petroleum fuel oil refined for use in diesel engines.

That’s why an estimated 42,000 locomotives compliant with Federal Railway Administration regulations, and many more non-FRA units, run on diesel.

But, there’s a catch.

Emissions from diesel exhaust produced by locomotives, trucks and ships cause as many as 30,000 premature deaths each year. A decades-long global movement has succeeded in achieving substantial reductions in diesel emissions and given birth to an alternative fuel industry that is taking aim at perhaps the most problematic mode — rail.

“There are virtually no current standards that exist that are directly applicable to zero-emissions (ZE) equipment on rail,” said Marcin Taraskiewicz, rail and transit vehicle technology lead for HDR. While standards do exist for other applications of ZE energy sources for other industries, he said those standards aren’t always fully, or even partly, applicable for rail use.

Rail standards are still years away, Taraskiewicz said, and as the technology matures as-yet-unforeseen requirements may need to be defined in the future. No current regulations exist to govern the design and use of ZE equipment; such regulations tend to be rooted in past experience that in and of itself is lacking due to the absence of its use in significant numbers. Those difficulties are compounded since regulations lean on relevant standards, which still don’t exist for the technology.

Taraskiewicz said risk analysis is the main path forward to gain regulatory approval to operate ZE equipment.

Few manufacturers produce equipment such as batteries, fuel cells and hydrogen tanks for use in rail. Components are typically repurposed from marine, automotive or industrial applications for rail use. Testing and validation are required to demonstrate the suitability of these components in the rail environment covering shock and vibration, temperature extremes, duty cycles, and fire safety. 

The choice of ready-to-run power is limited, confined mainly to multiple unit (MU) passenger trains and short range/yard locomotives. Major European builders Siemens, Stadler, Alstom, CAF and Talgo offer or are developing ZE MUs. Taraskiewicz said conversion of existing equipment to zero emission is an option, and that several operators have projects that are in the planning stages or fully underway. But with little operating experience with ZE on rail, the definition of requirements often falls on the operator.

“Operators are pursuing alternative fuels near zero emissions for long-range/heavy-haul fleets,” said Taraskiewicz, “but they don’t have the needed energy-to-weight power ratios. Cleaner diesel fuels are being looked at. Diesel is a high-energy fuel.”

Taraskiewicz said hydrogen and compressed natural gas are being worked on, but with no standards, development is slow. “Cryogenic compressed hydrogen is another option. Alternative fuels is an ever-developing field that is moving the goal posts for technology. It could take 10-15 years as standards try to catch up. Like everything else, it’s going to take some time.”

Development of standards and regulations will continue, said Taraskiewicz, equipment for rail-specific designs will evolve, and power sources of increased efficiency and energy density are expected as the technology matures and other energy sources, such as ammonia, which is hydrogen-dense, emerge as viable alternatives over the next 10 years. He said battery power for some locomotives is available for medium-distance runs of 200 miles round trip, “but anything beyond that, you’re doing diesel.”

To that end, Nicoletti said IRT is testing lithium-ion batteries in rail. 

“Specific customers have specific needs,” he said. “Let the technology flourish where it does first, then emanate across the industry.”

IRT’s current product placement ranges from 1,200-horsepower locomotives for Cando Rail Services in Edmonton, Canada, to 3,000-horsepower units for the U.S. Army and Grand Canyon Railway.

Battery power has been proven in the automotive sector.

“Have you been in a Tesla? Have you felt the torque?” Nicoletti asked. “That power is on tap to give basic explanations as to how the technology works.”

He said better outreach is needed from government agencies.

“If you listen to railroad discussions, no one really knows which direction to go. They are waiting to be told which way to go. But the reality is, for a variety of reasons, I don’t expect to see a lot of this tech on the rails in my lifetime.”

The process of concurrence by the FRA, he said, protects people from the improper deployment of technology. “But [the process] is a black hole to many people. There needs to be more cooperation, and across agencies, to make it a more approachable and understood process.”

Panelist Lynn Harris, senior subject matter expert with DB E.C.O. North America, said 27 trains in Germany are now operating on hydrogen and looking to expand. His company is working with North American transit agencies and operators, but the struggle is real.

“The fuel and components will reach cost parity with diesel in eight to 15 years,” Harris said. “There are workforce issues in managing the technology. It’s more expensive than stand-alone battery power but less than overhead catenary installation. It’s not a one-size-fits-all solution but ‘hydrail’ has a viable place. It’s an evolving technology, but we don’t want to throw the baby out with the bathwater. There are significant public health benefits in railyard-adjacent communities, and workforce health benefits. There will be more inclination to ‘take the trains.’”

For its part, absent any regulations, the FRA maintains an Alternative Fuels Program to help evaluate risks for power sources other than diesel, or electric via catenary or third rail.

The agency outlined the program in letters to the industry in 2013 and 2018. A 2025 letter “is a work in progress,” said panelist Michael Hunter, executive staff director of the FRA, while observing that the rail sector accounts for a very small segment of emissions.

But for those who may be tempted to experiment, Hunter explained that the agency derives its authority for the program from the Locomotive Inspection Act. “Generally, a locomotive can be used in service only when it is in the proper condition and safe to operate,” he said.

Equipment that falls under the program includes locomotives, as well as MU locomotives, that use an alternative source of energy for power. (Interpreted broadly, a locomotive is defined as a rail vehicle capable of moving other equipment. This is notable given current development of self-propelled freight cars.)

Alternative sources of energy, Hunter said, include hydrogen gas or liquid, a rechargeable battery energy storage system, or technologies that convert other chemicals to fuel. He noted that railroads have in the recent past focused on the use of compressed natural gas and liquefied natural gas.

Hunter showed a slide of the FRA’s risk assessment matrix guiding an evaluation of the hazards and risks associated with the use of alternative fuels. 

“The scenario for evaluation must be clearly defined,” he said. “Changes in the ‘use case’ can impact the probability of a hazard occurring. Assumptions and rationale must be documented, and the analysis provided to FRA for approval.”

Because there are no regulations, Hunter offered possible questions for situations that are considered on a case-by-case basis:

  • Does modification of a locomotive’s fuel source from diesel to battery mean the locomotive is “remanufactured”? Answer: Maybe.
  • Does modification of a locomotive’s fuel source from diesel to battery mean the locomotive has different dynamic characteristics? Answer: Maybe.

Hunter reminded attendees about other FRA safety regulations that may come into play:

  • Locomotive electronics, including analysis of fuel source cutoff.
  • Structural elements such as brakes and suspension.
  • Vehicle/track interaction that may be affected by a changed center of gravity or mass.
  • Emergency preparedness.
  • System safety/risk reduction.
  • Training regulations.

Regulatory compliance items may also weigh on the safety analysis to address identified hazards.

Find more articles by Stuart Chirls here.

Related coverage:

STB chair remains frustrated over Class I railroads’ lack of growth

California gives up on zero-emissions locomotive regulation

Tariff uncertainty front and center at MARS conference

Trimac acquires flatbed carrier Watt & Stewart

A closeup of a Trimac daycab at a stoplight

Canadian bulk hauler Trimac announced Friday it has acquired flatbed carrier Watt & Stewart for an undisclosed sum.

Watt & Stewart is a 38-year-old specialized carrier with a fleet of 124 tractors and 205 trailers operating out of locations in Claresholm, Alberta; Lexington, South Carolina; and San Angelo, Texas. The company primarily serves the mining, forestry and manufacturing industries.

It will continue to operate under its current banner and management team as part of the Trimac brands.

“Watt & Stewart is a remarkable company with a proud history, and we are honoured to carry forward their legacy while working together to achieve new heights …,” said Matt Faure, Trimac president and CEO in a news release. “Together, we’re better positioned to serve our customers and drive growth across North America.”

Trimac operates more than 140 locations in the U.S. and Canada.

The deal closed on Wednesday.

More FreightWaves articles by Todd Maiden:

94-year-old Iowa-based trucking company closes terminal in Montana

Family-owned Decker Truck Line Inc. of Fort Dodge, Iowa, confirmed that it has permanently closed its terminal in Missoula, Montana, citing findings from a thorough review of its operations and freight network as the main reason for the closure.

“This decision was not made lightly, but it is necessary due to the changing freight network patterns and the associated costs of operating a full terminal that is not being utilized sufficiently,” CEO Dale Decker said in a statement Tuesday about the closure. 

As many as 18 positions were eliminated at the Missoula terminal, according to NBC Montana.

Decker said a small group of drivers was also affected by the closure but added that the company will continue to utilize truck drivers in Montana to haul freight.

The trucking company said it plans to work with employees of the now-shuttered terminal to “explore relocation options” if they want to stay with Decker Truck Line.

“As our business continues to grow, our focus will shift more towards core regions. This strategy aims to enhance density in our well-established areas,” Decker said. “However, we will continue to require drivers residing in the Montana area, but we no longer consider it a strategic advantage for having a terminal in Missoula along with the associated overhead costs.”

The 94-year-old trucking company has around 790 company drivers and the same number of power units. It hauls general freight, refrigerated food and building materials, according to the Federal Motor Carrier Safety Administration’s SAFER website.

Besides its home terminal in Fort Dodge, which has approximately 190 employees, Decker Truck Line operates terminals in Mediapolis, Iowa; Bessemer, Alabama; and Hammond, Indiana, as well as a maintenance facility in Des Moines, according to the company’s website.
 

“Although this location no longer offers sufficient value to warrant a terminal, expansion in other regions may prompt new investments in areas that do provide clear benefit to our network,” Decker said.

Do you have a news tip or story to share? Send Clarissa Hawes an email or message @cage_writer on X, formerly known as Twitter. Your name will not be used without your permission.

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Family behind Jack Cooper quietly acquires LTL carrier through separate entity

A white daycab pulling two white pup trailers on a highway

Sakaem Logistics, an entity with ties to the same family that owns Teamsters-staffed car hauler Jack Cooper, ended up acquiring less-than-truckload carrier Standard Forwarding, according to documents and people employed at Standard Forwarding.

Typically, companies like to tout their conquests, communicate go-to-market strategies and explain the ways new ownership will enhance operations. Standard Forwarding Freight, Sakaem Logistics and Jack Cooper have not responded to inquiries from FreightWaves to confirm the change of hands. (Standard Forwarding has been relaunched as Standard Forwarding Freight.)

Sarah Riggs Amico, executive chairperson at Jack Cooper and head of Jack Cooper Investments, led efforts to acquire a portion of defunct Yellow Corp. (OTC: YELLQ) in 2023 and again in 2024 under a new entity, Next Century Inc. Handlers of Yellow rejected the bids, opting instead to liquidate assets.

Jack Cooper appeared to set up an LTL division late last spring as former employees of Yellow announced on LinkedIn that they were now working for the LTL division of Jack Cooper.

In August, FreightWaves reported that Jack Cooper LTL was in talks to acquire Standard Forwarding, an East Moline, Illinois-based union LTL carrier with 14 terminals throughout Illinois, Iowa, Wisconsin, Indiana and Minnesota. The 90-year-old company had been owned by DHL Freight since 2011.

A spokesperson for Jack Cooper said at the time that it was “hopeful they can reach an agreement with the company and the union to help save hundreds of jobs as Jack Cooper has demonstrated [it can do] time and time again.”

That deal appeared to be progressing as an Oct. 22 internal Teamsters memo showed a tentative agreement between the union and Jack Cooper, which would replace the current contract that workers had with Standard Forwarding. A month later, an 87-page tentative master freight agreement between Jack Cooper Freight and the Teamsters surfaced.

A Nov. 26 information packet to Standard Forwarding employees introduced Sakaem, which is “owned by the same family that owns Jack Cooper [Investments],” as the new purchaser.

Former LTL employees at Jack Cooper are now working at Standard Forwarding Freight. Tim McKinstry, who was chief operating officer at Jack Cooper LTL is now president at Standard Forwarding Freight. Tim Haitz is chief commercial officer. He was chief commercial officer of LTL at Jack Cooper Investments.

Deal comes at a tough time for Jack Cooper

Jack Cooper is losing its car hauling contract with Ford Motor Co. (NYSE: F), which has triggered Worker Adjustment and Retraining Notification Act notices of pending layoffs at some of Jack Cooper’s locations.

Ford was believed to be the company’s second-largest customer behind General Motors (NYSE: GM). Jack Cooper’s “valued partnership” with Ford began in 1991.

A statement from the Teamsters blamed Ford for the abrupt termination and said the contract loss “officially threatened the livelihoods of more than 1,400 Teamsters-represented carhaul workers and their families.” However, that number appears to include the entirety of the company’s Teamsters employees, though only certain locations will experience layoffs.

Atlanta- and Kansas City, Missouri-based Jack Cooper restructured under bankruptcy protection in 2019. Standard Forwarding was rumored to be struggling before Jack Cooper’s interest.

Tucker, Georgia-based Sakaem provides car transportation and relocation services to individuals, auto dealers and car rental companies through a network of third-party carriers.

More FreightWaves articles by Todd Maiden:

White House moves to exclude Chinese e-commerce from duty-free import

Piles of packages in bins at a U.S. Postal Service facility.

Following up on earlier action this week aimed at controlling the influx of unidentified e-commerce shipments from China, U.S. Customs and Border Protection on Friday proposed that low-value imports no longer qualify for duty-free entry if the products are subject to tariffs or other national security restrictions.

The proposal could result in higher consumer prices for small shipments and dampen demand, but logistics and trade professionals expect Chinese online retailers will be able to quickly adapt. 

The tentative measure formally covers a broad swath of goods – including washers, dryers and steel – from many countries but will predominantly apply to goods from China subject to Section 301 tariffs imposed during the first Trump administration. That’s because the de minimis exemption under U.S. trade law applies to goods valued at $800 or less that a single person in one day can import free of duty and taxes. De minimis shipments also have less rigorous information requirements. Appliances and industrial products typically have higher values and already require a formal declaration describing details of the shipment and its value for determining duty payment.

The agency on Monday proposed a rulemaking that would require shippers to provide more data on shipments with multiagency oversight or if they want an expedited clearance process.

The Biden administration in September signaled its intent to clamp down on the surge in e-commerce shipments coming through air express and postal delivery networks. It will be up to the incoming Trump administration to finalize and implement the proposals. President-elect Donald Trump says he intends to reverse many executive actions taken by his Democratic predecessor, but as a harsh critic of China for its trade surplus and source of fentanyl shipments, he is expected to endorse the change in de minimis rules. 

Officials say the lack of visibility around de minimis shipments makes the program attractive for bad actors to smuggle synthetic opioids like fentanyl, precursor ingredients and pill presses, products that don’t meet U.S. safety codes, and counterfeit goods.

“We cannot let Chinese-founded e-commerce platforms gain an unfair trade advantage while American businesses play by the rules,” said National Economic Advisor Lael Brainard in a news release. “Today’s actions are an important step forward to level the playing field for American workers, retailers, and manufacturers and to enforce U.S. laws that protect the health and safety of our consumers.”    

Over the past decade, the number of shipments entering the United States claiming de minimis treatment has increased more than sevenfold to more than 1 billion by fiscal year 2023, according to CBP. The total value of all imports claiming the exemption was $54.6 billion. The raise in de minimis value from $200 to $800, increased online shopping triggered by the COVID crisis and e-commerce platforms shifting logistics by unbundling container imports and shipping each package direct to the consumer triggered the surge in cross-border parcel shipments, experts say.

Currently, merchandise subject to quotas or antidumping and countervailing duties are not eligible for the de minimis administrative exemption, but goods subject to Section 201, 232 and 301 tariffs may still claim the exemption. CBP is now proposing to exclude those goods from de minimis, meaning that if they are covered by the 301 tariffs they would require a formal entry and payment of duty of up to 25% of the value.

The textile industry applauded CBP’s action, saying the de minimis program has undermined U.S. competitiveness by allowing low-cost, subsidized goods often made with forced labor into the country.

“This rulemaking represents a step forward in minimizing the impact of this disastrous loophole in U.S. trade law that has facilitated a surge of duty-free imports that are normally subject to penalty tariffs under various U.S. trade remedy statutes. Failure to collect these duties has exacerbated the flow of goods found to be in violation of U.S. trade laws that are costing American jobs and damaging our manufacturing sector,” said Kim Glas, president of the National Council of Textile Organizations, in a statement.

She urged the Trump administration to go further and terminate de minimis by executive order.

International trade professionals say consumers likely won’t be deterred if their $10 jeans from China now cost $12. And Chinese marketplaces are likely to adapt by fulfilling orders and labeling each box at origin, bringing them to the United States in containers under a consolidated entry and handing them to national or regional couriers for final-mile delivery to the buyer. Or they could set up warehouses in the U.S. and Mexico to do order fulfillment, with inventory arriving by ocean vessel. 

Cirrus Global Advisors, an e-commerce and freight logistics consulting firm, predicted in a LinkedIn post that such a B2B2C model likely means delivery time will take one to two days longer and 20% to 35% increase in prices.

The public has 60 days to submit comments about CBP’s notice of proposed rulemaking.

Click here for more FreightWaves/American Shipper articles by Eric Kulisch.

Write to Eric Kulisch at ekulisch@freightwaves.com.

US customs tightens enforcement of low-value e-commerce trade

Tariffs targeting Chinese e-commerce could dampen demand

Running on Ice: FreezPak warms to Western expansion

Blue Truck on a sheet of ice over a blue background and Running on Ice Logo

All thawed out

(Photo: Jim Allen/FreightWaves)

In a westward expansion, FreezPak Logistics is taking up residence in its first West Coast facility: a new cold storage facility in the Los Angeles area, that is 150,000 square feet of both freezer and refrigerated pallet positions. This location will also offer overseas container plugs, United States Department of Agriculture/Food Safety and Inspection Service/Food and Drug Administration inspections, cross-docking, port drayage, less-than-truckload and truckload transportation, dedicated fleets, repacking, and same-day order fulfillment. Being just 20 miles from the ports of Los Angeles and Long Beach makes the site ideal for imports and exports of temperature-sensitive goods. 

“This new facility in Los Angeles is a monumental step in FreezPak’s growth journey,” said Michael Saoud, co-founder and co-CEO.

“By establishing a presence in this vital market, we are not only extending our reach to the West Coast but also ensuring our customers have access to the most efficient and innovative cold storage and logistics solutions available,” said David Saoud, co-founder and co-CEO.

Temperature checks 

(Photo: Jim Allen/FreightWaves)

Fan favorite Lineage makes headlines again. Lineage’s initial public offering last July saw its shares debut at $82, surpassing its $78 offer price, and valued the company at $19.2 billion. It raised $4.45 billion, marking the largest global stock market debut of the year.

This time the headlines have a different twist. The cold storage giant is facing layoffs. The actual number of employees affected hasn’t been disclosed.

Despite the strong per-share figure at its IPO, its current stock prices are down around $53 – a 34% drop in the past six months. The falling stock price likely has the company facing some difficult decisions as it navigates the full first year of being a publicly traded company.


Fourth-quarter financials aren’t out yet but based on results in Q3, which was also the first quarter Lineage published financial data as a public company, the financials were holding strong. There was year-over-year growth, net revenue increased to $1.34 billion and occupancy was 77.6%. The biggest concern was the soft demand in the food space, but a rebound is still expected. 

Food and drug

(Photo: Jim Allen/FreightWaves)

Conagra Brands recently announced plans to market GLP-1 friendly labels to drug users as a way to boost frozen food sales and get consumers spending money on groceries. That might be a path that the rest of the frozen section and other areas of the grocery store have to adopt as GLP-1 users have cut back on grocery store spending by about 6%.

GLP-1 drugs work to lower blood sugar levels and promote weight loss. Originally created to target Type 2 diabetes and obesity, the drugs have now widely spread to a larger demographic as a weight loss drug. They help curb appetite.

This widespread adoption of the drug has hit grocery stores hard, with salty and sweet snack items seeing the biggest drop-off in purchases. Research by Cornell and Numerator found, “Among categories, chips, sweet bakery, side dishes and cookies showed some of the largest reductions in spending following GLP-1 use, decreasing by an average of 6.7% to 11.1%.”

The biggest section of the store to get hit is frozen foods as consumers become more mindful of portion sizes and opt for less processed foods. According to a Food Business News article, “The market opportunity for GLP-1 drugs is projected to grow from an estimated $133 billion now to $150 billion by 2030. The increasing rates of obesity and diabetes in the United States are driving this growth, with Centers for Disease Control and Prevention data indicating more than 100 million US adults are obese.”

Cold chain lanes

SONAR Tickers: ROTVI.BNA, ROTRI.BNA

This week’s market under a microscope is the home of country music, Nashville, Tennessee. Reefer outbound tender rejections have risen to the highest levels in the past 365 days. With the ROTRI hitting 40.52%, Nashville will be experiencing incredibly inflated spot rates. Compared to historic averages for mid-January over the past few years, it’s nearly 3,516 basis points higher year over year. The only exception to that is 2022, when the ROTRI was 46.29% at this time of year.

Reefer outbound tender volumes have dropped 4.59% w/w. The current reefer outbound tender volume levels are the lowest they’ve been for the past three years. Low reefer volume and high reefer rejections will cause shippers and brokers to have to prioritize what shipments need to be moved or be prepared to pay an elevated rate to get goods moving. Carriers are in for a decent return on a load moving out of the Nashville market.

Is SONAR for you? Check it out with a demo!

Shelf life

FACT SHEET: Biden-Harris Administration highlights historic food system investments

Cold chain industry slams Nepra for placing it in commercial tariff category 

Trucking industry sees a silver lining: Spot rates rise across the board

Hydropac unveils ice pack solution for pet food cold chain logistics

Wanna chat in the cooler? Shoot me an email with comments, questions or story ideas at moconnell@freightwaves.com.

See you on the internet.

Mary

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Overhaul CEO on $55M in funding to fight fraud; Adam Wingfield’s master class | WHAT THE TRUCK?!?

On Episode 793 of WHAT THE TRUCK?!?, Dooner is talking to Overhaul CEO Barry Conlon about their $55 million funding round and the fight against the rapidly escalating issue of freight fraud. We’ll find out why they’re betting big on AI to counterpunch.

Adam Wingfield is putting together a new master class in trucking for FreightWaves. He stops by the studio to talk about what it takes to run a fleet in 2025 and what he hopes truckers and trucking companies learn from his new program.

Plus, Switch 2 supply chain; Pokemon release causes chaos at Costco; Uber passenger tries to crash into semi truck; Walgreen’s plan backfires; and more.

Catch new shows live at noon EDT Mondays, Wednesdays and Fridays on FreightWaves LinkedIn, Facebook, X or YouTube, or on demand by looking up WHAT THE TRUCK?!? on your favorite podcast player and at 5 p.m. Eastern on SiriusXM’s Road Dog Trucking Channel 146.

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ILA to review tentative longshore contract; union ratification vote next

The International Longshoremen’s Association expects to shortly take the next steps toward ratifying a new contract with East and Gulf Coast port employers. 

Union leadership will be scheduling meetings “in the next few weeks” with ILA wage scale delegates to review the tentative agreement with terminal operators and ocean carriers of the United States Maritime Alliance (USMX), said a source close to the negotiations.

Pending the delegates’ expected approval, a ratification date would be set for union members to vote on the six-year master contract covering pay and benefits for 25,000 dockworkers in container handling at ports from Texas to Boston.

The sides on Jan. 8 averted a looming port strike with an announcement that they had come to a tentative agreement that will allow employers to deploy semiautomated container cranes and other robotic equipment in exchange for job guarantees for union members.

The tentative agreement includes a 62% pay raise over the life of the contract, which was originally agreed to following the end of a brief strike by the ILA in October.

An extension of the current contract was set to expire Jan. 15. The ILA will continue to work under those terms until a new pact is ratified.

The USMX did not immediately respond to messages seeking comment.

Find more articles by Stuart Chirls here.

Related coverage:

Cosco says blacklisting won’t affect US services ‘at all’

Analysis: When will ocean carriers return to the Red Sea?

Port strike threat gone, trans-Pacific container rates level out

Amazon goes Old World for new electric trucks

A picture of a Mercedes-Benz cabover truck with an Amazon Trailer

Amazon has taken a significant step toward reducing its carbon footprint with the announcement of its largest-ever order of electric heavy goods vehicles (eHGVs). The company has committed to acquiring over 200 new eActros 600 vehicles from European truck maker Mercedes-Benz Trucks. They will be integrated into Amazon’s existing eHGV transportation network later this year. The purchase is a big win for Mercedes-Benz Trucks, as it represents the largest electric heavy goods truck contract to date.

The initiative is part of Amazon’s broader sustainability goals and part of the company’s Climate Pledge signed back in 2019. Amazon aims to achieve net-zero carbon emissions across its operations by 2040.

Amazon previously tested an eActros 600 prototype at one of its logistics centers in Germany. Of the 200-plus trucks, over 140 will be deployed in the U.K. and over 50 in Germany. That adds to the 38 Amazon eHGVs that have operated on European roads since 2024. 

The strategy for the trucks will be hauling along high-mileage routes in Amazon’s middle-mile network, going to and from Amazon fulfillment centers, sort centers and delivery stations. 

For the eHGV itself, a little nomenclature is required to understand how it differs from its longer cousin, the North American Class 8 tractor. For American readers, the first thing one notices about the eActros 600 is that it’s a cabover engine (COE),  less common on U.S. roads today due to trucking regulation changes in this country.

The golden age of COEs extended from the late 1950s through the early ’80s when the Surface Transportation Assistance Act of 1982 extended vehicle lengths and brought about the 80,000-pound maximum gross vehicle weight, also referred to as the gross combined weight (GCW). That is the total weight of a combination tractor and trailer, as well as the cargo, on the roadway. 

Europe kept the COE truck standard, but COE trucks are still in the U.S., just for smaller roles. The U.S. uses them mostly for medium-duty vocational needs like fire, rescue, urban delivery, lawn maintenance and waste vehicles.

Without stricter regulatory limits on lengths, U.S. OEMs shifted to longer tractors for long-haul applications. The maximum gross vehicle weight is important when evaluating battery electric trucks, as they’re currently heavier than their diesel counterparts due to the weight of the battery packs.

For Mercedes-Benz Trucks, the eActros 600 boasts a high-capacity battery of over 600 kilowatt-hours, hence the name. The in-house-developed drive axle enables the truck to achieve a range of 310 miles (500 kilometers) without immediate charging. 

The caveat to the 310-mile range was noted in the release as “determined internally under specific test conditions, after preconditioning with a 4×2 tractor unit with a 40 tons total towing weight at 20°C outside temperature in long-haul operation and may deviate from the values determined in accordance with Regulation (EU) 2017/2400.”

The eActros 600 weighs approximately 26,000 pounds or 11.7 metric tons and has a higher GCW of 88,000 pounds compared to the maximum GCW of a U.S. battery-electric Class 8 of 82,000 pounds. You get the extra 2,000 pounds on top of the 80,000 pounds on U.S. roads courtesy of the Department of Energy

In terms of haul weight, the eActros 600 can haul a standard 22-ton trailer or approximately 44,000 pounds, with Motortrend reporting an 800-volt electrical architecture that can produce an output of 536 horsepower with a peak output of 805 horsepower. 

Regarding the challenge of charging, Daimler Truck notes the eActros 600 will be able to travel more than 620 miles (1,000 kilometers) per day through intermediate charging during the legally prescribed driver breaks, even without megawatt charging. Additionally, around 60% of the long-distance routes are less than 310 miles away, providing charging infrastructure at depots and at loading and unloading areas. 

In the future, the eActros 600 will be retrofitted with a megawatt charging system (MCS) as it becomes available and standardized across all manufacturers. The MCS technology allows the batteries to go from a 20% to an 80% charge in around 30 minutes if the charting station has around a 1-megawatt output. 

The main challenge for electric truck adoption remains the cost compared to an internal combustion engine. In the case of Amazon, its switch was partially funded by the U.K. government, which included the company in a $76.5 million (62.7 million-pound) award aimed at increasing zero-emissions road freight. 

This award is on top of Amazon’s existing $366 million (300 million-pound) investment over five years to electrify and decarbonize its U.K. fleet, including electric vans, trucks, e-cargo bikes and even delivery walkers. For those wondering what a delivery walker is, imagine a hotel cart designed to carry packages, with a person helping deliver packages from a delivery truck around a certain radius.

Amazon has also invested in heavy-truck charging infrastructure through 360kW electric charging points which can charge the battery of 88,200-pound (40-metric-ton) trucks from 20% to 80% in just over an hour. The investment in infrastructure is much needed as lack of charging locations remains a key constraint in both Europe and the U.S. 

In the U.K., the sight of one of these new eHGVs may be a rarity. The Guardian reports that as of last summer, there were just 300 electric eHGVs in the over-500,000-strong lorry [truck] fleet, with only one public charging point. 

With this new order, expect those numbers to move in a positive direction.

STB chair remains frustrated over Class I railroads’ lack of growth

SCHAUMBURG, Ill. — Approaching the likely end of his tenure as chairman of the Surface Transportation Board, Robert Primus made it clear: The hearing the board held last fall on growth in the rail industry did not ease his concerns about Class I efforts to increase volume.

In a rare address Thursday at the Midwest Association of Rail Shippers Winter Meeting — the same day he issued a statement concerning retaliation by railroads against those who bring matters to the board or participate in its proceedings — Primus expressed abundant frustration over railroads’ continuing loss of market share.

“We are the largest, safest, most cost-efficient and energy-conscious freight rail system in the world,” Primus said, “and yet we struggle to grow, even when growth opportunities exist. For the past year, we have continually lost market share to our chief competitor who has seen better days, while all six Class Is are enjoying a period of strong, if not record profits, and the ability to provide billions in stock buybacks to their respective shareholders. … From 2003 to 2023, freight rail has experienced negative growth among most business segments.” Among the data he cited: Intermodal tonnage hauled by truck was up by 35% between 2003 and 2023, while intermodal tonnage by rail declined by 16%.

“Why are we hemorrhaging market share to truck?” he asked. “Why can’t we have sustained long-term growth at the Class I level?” Those September growth hearings [see “Hearing focuses on turning around …,” Trains News Wire, Sept. 16, 2024, and “Regulators scrutinize trends …,” Trains News Wire, Sept. 17, 2024] illustrated reasons, he said, listing five:

  • Shippers have left rail because of inconsistent and unreliable service.
  • High rates are not commensurate with the level of service.
  • The Class I railroads fail to provide accurate information on service and schedules, particularly when measured against what trucking provides.
  • Railroads have inadequate employment levels to handle growth.
  • Short-term gains are prioritized at the expense of expanding network capacity.

“This all adds up,” Primus said. “What we have, in the words of former President Jimmy Carter, is a crisis of confidence. Far too many shippers have simply lost confidence in our freight rail network. It’s why a 2020 Oliver Wyman survey found 100% of large shippers polled believed truck to be superior to rail on key attributes of the customer experience. It’s why freight rail lines have declined by 28% over the last decade.”

If Class I railroads want to address many of these issues, they have a model to look to that is close at hand.

“The network must have an adequate labor force and be better resilient, and we need to shift our focus from short-term profits to long-term sustainable growth. I know this sounds impossible, right? Well, what I just described is exactly what’s happening within our nation’s short lines, and they are seeing double-digit volume growth.

“It can be done because it is done.”

And, he said, railroads have been hurt by slow adoption of the kind of tracking technology available from trucks or from consumer enterprises such as Amazon. He did, however, offer some optimism on that score.

“I’m a huge supporter of RailPulse,” he said, referring to the digital car-tracking enterprise, “and this is for two reasons. No. 1 is the first real collaborative between Class Is, short lines, shippers, car manufacturers, car lessors and others to develop a universal telematics platform that can be used by the entire network. … If we get this right, it can be a real game changer. My only gripe is that only four of the six Class Is are participating. To me that’s unacceptable and a reminder that the stove-pipe mentality still exists within the network. Neither BNSF nor CN could give you good reason why they’re not on board. I hope they figure it out soon, and shortly.”

Concerns over retaliation

Earlier, Primus recounted accomplishments of the board during his time as chairman but also noted issues he would have liked to address if he had more time as chairman. (While Primus will remain on the board through 2027, President-elect Donald Trump will have the opportunity to name a new chair, as well as fill the STB’s one vacant seat.) These, he said, included competition, matters involving private railcars, and commodity exemptions, as well as the need for reauthorization of the STB by Congress: “I would have liked to lead that effort,” he said.

But he also was “truly disappointed” that the board had not addressed what he called the “pervasiveness of retaliation and intimidation” against those — be they shippers, labor, or short lines — who have brought matters to the attention of the board.” This was also the subject of the statement Primus issued Wednesday, which among other details asks those who feel they have been the targets of such actions to contact the STB’s Rail Customer and Public Assistance program.

“While I do not believe the leadership under Class Is promote or even tolerate this behavior, it nonetheless continues to permeate through the ranks,” Primus said at MARS, “and its impact has directly affected the board’s ability to do its work,” he said. “Quite simply, it’s wrong and it must be addressed. … Moving forward, I hope the board finds the courage to confront this troubling issue soon.”