(BNSF Railway — KIWA Staff Photo)
Statewide Iowa (RI) — As federal regulators consider the proposed merger of major railroads Union Pacific and Norfolk Southern, Iowa Senator Chuck Grassley says the deal may not be in the best interests of American farmers.
The $85-billion merger would create America’s first coast-to-coast transcontinental railroad. Reports say the combined network would stretch 50,000 miles, span 43 states — including Iowa — and connect to about 100 ports.
Agricultural groups, shippers, labor unions, and competing carriers — including BNSF — have voiced strong opposition, arguing the merger could will increase monopoly power, reduce routing choices, and raise shipping costs.
Grassley says the Surface Transportation Board has temporarily paused proceedings as it gathers more data on the potential impacts.
The two companies hope to merge by early next year. Grassley says he’ll reserve further judgment until the board makes its ruling.
