Cayce-Train-Trestle

Editorial: Keeping South Carolina Manufacturing Competitive by Rail – Union Pacific and Norfolk Southern Merger matters for South Carolina

By Robert Shealy

South Carolina’s manufacturing economy depends on reliable freight rail to function and compete.

Congaree River Trestles in Cayce

Companies across the state rely on efficient rail service to move heavy materials, control costs, and meet delivery deadlines in competitive markets. At HR International, dependable transportation connections often make the difference between predictable operations and costly delays. That is why the proposed merger between Union Pacific (UP) and Norfolk Southern (NS) matters for South Carolina – and me. A more connected rail network will strengthen commerce, improve supply chain reliability, and support continued manufacturing growth across the state.

The manufacturing industry is one of South Carolina’s largest sources of employment, with strong rail logistics playing a key role in its success. Companies that move heavy equipment and materials simply cannot rely on the trucking industry alone. Freight rail shipping provides the scale and efficiency that manufacturers like me need to serve customers across the country. With dependable rail service, supply chains become more predictable, and businesses can plan for steady growth. When it does not, delays and increased shipping costs make it difficult to meet customer commitments and remain competitive in global markets.

A more integrated freight rail system would help address those issues. The UP-NS merger would better connect coast-to-coast rail lines, reducing inefficiencies caused by freight having to be offloaded between separate networks. This means fewer delays, consistent service, and improved reliability. For consumers, these benefits only stand to flow downward, lowering costs and increasing efficiency.

Improved rail connectivity also strengthens South Carolina’s role as a logistics hub. The state is home to the nation’s eighth-largest container port, anchored by the Port of Charleston and supported by inland ports in Greer and Dillon. In 2021, South Carolina exported roughly $30 billion in goods; this revenue can grow further with smoother connections between ports, manufacturers, and markets. A stronger, cross-country rail network would ensure that investments in port infrastructure translate into real economic returns for businesses across the state.

Freight rail also plays a critical role in supporting our infrastructure. In 2022, rail moved roughly 60 million tons of goods in South Carolina valued at nearly $97 billion, with freight volumes projected to grow significantly in the coming years. Moving more freight by rail reduces congestion on highways, limits wear and tear on roads, and improves safety for drivers. These are benefits that extend well beyond manufacturers and communities across the state.

Equally important, reliable rail service supports job growth and long-term private investment. Companies of all kinds look for states with dependable infrastructure and sufficient access to marketplaces. A more connected rail system makes South Carolina more attractive for future manufacturing projects and general industrial expansion. That means more jobs, stronger local economies, and sustained growth.

The UP-NS merger has the potential to deliver meaningful improvements in service, efficiency, and reliability for manufacturers and other state industries. This unification represents an investment that aligns with South Carolina’s economic needs. For companies like mine, it is not just about rail policy; it is about strengthening supply chains, improving reliability, and ensuring South Carolina remains a competitive place to build and grow. A stronger rail network is an investment in South Carolina’s jobs, competitiveness, and long-term economic future.

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