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CN Drops Opposition to UP-NS Merger, Secures Mexican Gateway Access

Canadian National will not oppose Union Pacific's proposed merger with Norfolk Southern under a comprehensive agreement that reshapes competitive positioning across North America's rail network. CN gains operating rights over UP's Memphis-to-Eagle Pass corridor, strengthening its Mexico connectivity and challenging Canadian Pacific's cross-border dominance. UP receives access to CN's former Elgin, Joliet & Eastern line, providing a route around Chicago with transit times under 12 hours versus the regional average of 35 hours. The Mexico and EJ&E access provisions take effect immediately and operate independently of merger approval. Additional arrangements involving CN access to certain shipper facilities and Kansas City terminal interests remain contingent on UP and Norfolk Southern closing their merger. UP Chief Executive Jim Vena, formerly CN's chief operating officer, emphasized the EJ&E route's strategic value. Both carriers aim to implement the non-contingent elements rapidly.