CN introduces the Guaranteed Intermodal Equipment Program

Canadian National (CN) and Kansas City Southern (KCS) has announced that they have entered into a definitive merger agreement.

Canadian National (CN) has announced the introduction of a new priority equipment allocation and empty delivery as part of its Guaranteed Intermodal Equipment Program. The goal of the program is to improve its service offering to its customers who have urgent shipments in high demand or constricted markets. CN stated that effective immediately, equipment orders can be guaranteed at all intermodal origin points at which CN supplies equipment (dry, heater, or reefer), though this was stated not to be applicable to EMHU equipment.

How it works, according to CN:

  • The new Guarantee Equipment Program allows customers to reserve and guarantee intermodal equipment for next-day service as well as same-day service, when available.
  • Rates provided in the Guaranteed Equipment Program are said to be dynamic, and origin-destination specific; CN said there is no flat rate surcharge.
  • Within CN’s daily allocation plan a limited number of dry, heater, and reefer containers will be reserved specifically for the Guarantee Equipment Program.
  • According to the company, the program is designed for situations that demand immediate equipment, outside of regular equipment ordering, and does not affect regular contract and equipment allocation.

The program’s advantages according to CN are:

  • 53’ intermodal containers (dry, heater, or reefer) are offered for next-day or same-day service.
  • Equipment allocation and empty delivery are stated to be executed as priority.
  • Reliability of equipment supply, aiming to avoid reliance on last minute spot rates for over-the-road trucking.
  • Aims to complete deliveries either the same day or the next day.

Source: Canadian National