Increasing Intermodal Operations: Union Pacific Enhances West Coast Ports to Chicago Route
Union Pacific (NYSE: UNP) is set to launch a new high-priority Z-train service next month, connecting California's Inland Empire with Chicago. The service promises up to 25% faster transit times, cutting the journey duration by about 25 hours to achieve just over 2.5 days (around a three-day transit time) between the two points[1][3][4].
The Inland Empire Intermodal Terminal, located closer to warehouses compared to Union Pacific's previous terminal, plays a significant role in this service[2]. The terminal, which was opened in 2021 with a capacity of 45,000 lifts per year and has since been expanded to handle 120,000 annual lifts, is strategically positioned to facilitate efficient container movements[1][4].
The trains will run on the Los Angeles & Salt Lake route from the Inland Empire to Salt Lake City, and from there to Chicago via the Overland Route. This route allows for potential cost savings for customers, as the proximity to warehouses reduces dray distances[5].
The new service targets time-critical shipments, directly competing with team driver truck transport by offering similarly fast delivery but with the economies and capacity of rail[1][2]. The service operates initially five days a week (with plans for potential expansion), benefiting from Union Pacific’s premium network enhancements[3][4].
Key features and benefits include:
- Time-sensitive freight focus: The service targets time-critical shipments, directly competing with team driver truck transport by offering similarly fast delivery but with the economies and capacity of rail[1][2].
- Premium expedited network: Operating initially five days a week (with plans for potential expansion), the service benefits from Union Pacific’s premium network enhancements, including the newly opened Kansas City Intermodal Terminal (KCIT). This terminal supports streamlined, fast operations with technology such as Precision Gate Technology for touchless and efficient truck access and UPGo app for container tracking[3][4].
- Operational improvements: The service connects UP’s Inland Empire Intermodal Terminal (IEIT) with Chicago’s Global 2 Intermodal Terminal, facilitating direct and efficient container movements across a major transcontinental corridor[1][4].
- Strategic terminal relocations: UP moved its KCIT domestic services from Long Beach’s ICTF to the City of Industry terminal in Southern California, enhancing service integration for the new expedited run[1][4].
- Environmental and congestion benefits: By shifting shipments from truck to rail on a faster schedule, UP aims to reduce highway congestion and lower greenhouse gas emissions associated with freight transport[4].
- Competitive edge: The Z-train service is positioned to win market share from truckload carriers on similar routes by combining rail’s cost efficiency with delivery speeds that approach those of dedicated trucking services[1][2].
Union Pacific's executive vice president of marketing and sales, Kenny Rocker, stated that the service will deliver consistent, reliable, and truck-competitive transportation[6]. The West Colton terminal, located within 10 miles of most of the 625 million square feet of warehouse space in the Inland Empire, will also play a crucial role in this service[5].
In a competitive market, Union Pacific's new Z-train service offers a truck-competitive, ultra-fast option for time-sensitive freight linking California’s Inland Empire and Chicago, leveraging advanced terminals, a premium network, and improved transit times to enhance reliability and efficiency in cross-country intermodal freight movement[1][3][4].
[1] https://www.freightwaves.com/news/union-pacific-to-launch-faster-intermodal-service-between-california-and-chicago [2] https://www.railwayage.com/news/short-lines/union-pacific-to-launch-faster-intermodal-service-between-california-and-chicago [3] https://www.railwayage.com/news/short-lines/union-pacific-to-launch-faster-intermodal-service-between-california-and-chicago [4] https://www.railwayage.com/news/short-lines/union-pacific-to-launch-faster-intermodal-service-between-california-and-chicago [5] https://www.railwayage.com/news/short-lines/union-pacific-to-launch-faster-intermodal-service-between-california-and-chicago [6] https://www.railwayage.com/news/short-lines/union-pacific-to-launch-faster-intermodal-service-between-california-and-chicago
- This new Z-train service operated by Union Pacific, connecting California's Inland Empire with Chicago, operates on a route that includes the Los Angeles & Salt Lake route and the Overland Route, aiming to provide cost savings for customers by reducing dray distances due to the proximity of the terminals to warehouses [5].
- The service, which targets time-critical shipments, directly competes with team driver truck transport by offering similar delivery speeds but with the advantages of rail, such as the economies of scale and capacity it offers [1].
- To improve operational efficiency and facilitate direct and efficient container movements, the service uses sophisticated technology like Precision Gate Technology and the UPGo app in terminals like the Kansas City Intermodal Terminal, enhancing the overall service's reliability and efficiency [3].
