Union Pacific Launches New Intermodal Service Linking Southern California and Chicago

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Union Pacific is venturing into the Chicago area market with a new direct domestic intermodal service from the Los Angeles Basin to Chicago, aiming to alleviate road congestion by shifting more trucks to rail. The service connects the Lance Fritz Inland Empire Intermodal Terminal in Fontana, California, with Global 2 in Northlake, Illinois, enhancing the existing network between Global 4 in Joliet, Illinois, and Southern California. This addition caters to all domestic container shipments and promises transit times of approximately four to six days, depending on the service level agreed upon.

Kari Kirchhoefer, senior vice president-Premium at Union Pacific, highlights this development as part of the company’s strategy to expand services into new markets, meet customer demands, and capture over-the-road shipments. The new service not only offers potential drayage cost savings in both the Chicago and Southern California regions but also situates intermodal services closer to the initial and final points of freight movement.

The initiative underscores Union Pacific’s commitment to enhancing supply chain efficiency and sustainability by leveraging the strategic locations of the Inland Empire, one of the largest warehouse districts in the nation, and Chicago, the third-largest city in the U.S. This move is expected to strengthen the rail network’s capacity to manage freight flows efficiently, providing a robust alternative to road transportation and contributing to the reduction of highway congestion.

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