World Grain - July 2018 - 13
Canadian Pacific Railway to invest C$500 million in high-capacity grain hopper cars
CALGARY, ALBERTA, CANADA - Canadian Pacific Railway
Ltd. (CP) on June 7 unveiled plans to invest more than C$500
million on new high-capacity grain hopper cars. The investment
is part of the company's commitment to the North American agricultural sector, which was adversely affected by transportation
problems earlier this year.
CP said it has placed an initial order to purchase 1,000 grain hopper cars from National Steel Car, with more than 500 of the cars
expected to be put into service before the end of 2018.
"For more than 100 years, grain has been embedded in CP's
safely and reliably to market. It's the largest sector of CP's business
by revenue, and we're committed to continuous improvement for the
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industry leader in grain transportation for decades to come."
While CP's initial order was for 1,000 cars, the company said it
plans to buy approximately 5,900 hopper cars in total over the next
four years. In doing so, CP said it should be able to remove all low-caSDFLW\KRSSHUVLQFOXGLQJDOOJRYHUQPHQWRI&DQDGDFDUVIURPLWVÀHHW
The investment is made possible by changes to the Maximum Revenue
Entitlement formula through the passage of the Transportation
Modernization Act, Act C-49, which provided CP the certainty needed
to place the order.
CP plans to invest in new high-capacity grain hopper cars as part of its
commitment to the North American agricultural sector.
Photo courtesy of CP.
CP described the new car design as "shorter" and "lighter" than
the new cars feature a three-pocket design that can be loaded and
The new hopper cars can handle more than 15% greater volume
and 10% greater load weight than the cars being retired, while featuring a shorter frame that enables more cars in a train of the same
length, the company noted.
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www.World-Grain.com / World Grain / July 2018