Rail and Trucking Changes Reshape Agricultural Transportation Outlook

Transportation access, legal disputes, and fertilizer freight costs will directly influence input pricing and grain movement in 2026.

semi truck driving into camera at sunset_Photo by helivideo via AdobeStock_292464872.png

Photo by helivideo via Adobe Stock

NASHVILLE, Tenn. (RFD-TV) — Rail access disputes, trucking cost pressures, and new fertilizer train programs are reshaping agricultural transportation as producers and agribusinesses prepare for the 2026 season.

Canadian National Railway (CN) has asked the Surface Transportation Board to confirm its right to serve an ADM grain elevator near Springfield, Illinois. CN claims Union Pacific has blocked access by refusing to qualify CN crews, limiting competition at a facility also served by Norfolk Southern. CN argues the timing is significant because UP is seeking regulatory approval to acquire Norfolk Southern, raising broader concerns about market access and rail competition for grain shippers.

Meanwhile, the American Transportation Research Institute’s annual industry survey shows trucking companies remain focused on economic conditions, lawsuit abuse reform, and insurance costs. Drivers continue to cite compensation, truck parking, and language requirements as their top concerns, highlighting ongoing labor and cost challenges across rural freight networks.

On the fertilizer front, BNSF Railway has launched a new seasonal unit train program running January through June. The program allows shippers to reserve large fertilizer trains without auctions or prepayment, though new tariff increases of $5 per ton for urea and phosphates take effect January 1.

Related Stories
Reduced winter placements indicate tighter fed cattle supplies and greater leverage during peak-demand months.
Farmer Bridge payments are being used primarily to reduce debt and protect cash flow, not drive new spending. Curt Blades with the Association of Equipment Manufacturers joined us to provide insight into the ag equipment market and the factors influencing sales.
Rail strength is helping stabilize grain movement, but river and export slowdowns continue to limit overall logistics momentum.
Seasonal boxed beef softness does not change the tight-supply outlook — leverage remains closer to the farm gate heading into 2026.
As the new year begins, both farmers and rural families are taking stock of their finances and planning ahead for 2026.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Modest rate relief may come late in 2026, but borrowing costs are likely to stay elevated.
Purdue University Professor of Agricultural Economics Dr. Jim Mintert shares a closer look at farmer sentiment and the key issues shaping the agricultural economy in January.
Stronger U.S.-Guatemala trade rules favor dependable, regionally integrated supply chains — rewarding execution and commitment over cost-only sourcing.
China-led demand continues to anchor soybean and sorghum exports despite weekly swings.
Shrinking slaughter capacity may delay heifer retention, complicating herd rebuilding plans.
Strong seasonal demand and manageable production growth continue to support poultry markets.