The US Surface Transportation Board (STB) has accepted for consideration the merger application filed by Union Pacific and Norfolk Southern, allowing the proposed combination to proceed to substantive review.
The applicants resubmitted their proposal on 30 April 2026 after the STB rejected the original filing in January as incomplete. Although the Board has requested supplemental information in several areas and placed the procedural schedule in abeyance pending its review, the case will move forward once the additional material is assessed.
Union Pacific and Norfolk Southern are seeking approval to combine their networks into a single system linking the US West Coast and East Coast. The companies state that their application is based on traffic data from all six North American Class I railroads and includes detailed modelling of competitive and operational impacts.
According to the filing, the combined railroad would target a shift of long-haul freight from road to rail, with projected diversion of 2.1 million truck movements annually. The applicants estimate annual shipper savings of USD 3.5bn (approximately EUR 3.2bn), based on lower transport and inventory costs and changes in routing.
The companies project traffic growth requiring around 1,200 net new union positions by the third year following completion. They have also proposed employment protections for unionised staff at the time of the transaction.
Under federal law, the STB has 12 months from the publication of its acceptance decision to complete evidentiary proceedings. Union Pacific and Norfolk Southern have indicated a target completion date in mid-2027, subject to regulatory approval.
