News

Rail strike on hold, for now

The potential for a rail strike has been delayed until at least December.

Rail groups and union officials on Wednesday agreed to extend a possible walkout until after Thanksgiving, setting a new deadline for December 4^th.

Michigan Farm Bureau’s John Kran tells Brownfield agriculture is too dependent on rail for any disruptions and the cooling of threats is positive news.

“It shows that both sides are willing to give this some more time to try to come up with the best solution—I hope that they can do that,” he says.

He says as a peninsula state, Michigan is often the last rail stop and any slowdown could have lasting ramifications.

“If transportation is disrupted in the rest of the country, it’s going to have an impact on everyone regardless of what state you’re in,” he says.

The Renewable Fuels Association says they are relieved the strike is not imminent, but with more than 70 percent of the ethanol produced in the U.S. transported via railway, a more permanent solution is needed.

More than 200 groups across the ag value chain are calling on Congress to prevent a strike, saying that it combined with existing challenges in the rail system, at ports, with trucking and with record low water levels on the Mississippi River would be catastrophic for the ag and broader U.S. economies.