Selloff or Market Correction? Either Way, Here's What to Do NextSee Overvalued Stocks

US railroads mostly on board with lawmakers' safety push-CSX CEO

Published 05/17/2023, 05:49 PM
Updated 05/17/2023, 05:52 PM
© Reuters. FILE PHOTO: A CSX freight train heads westbound out of a tunnel into Harpers Ferry, West Virginia October 16, 2012. REUTERS/Gary Cameron
F
-
CSX
-
NSC
-

By Lisa Baertlein

CHICAGO (Reuters) - U.S. freight railroads agree with most of federal lawmakers' efforts to make the industry safer following the fiery Norfolk Southern (NYSE:NSC) train derailment in February, CSX Corp (NASDAQ:CSX) CEO Joe Hinrichs said on Wednesday.

A U.S. Senate panel last week approved rail safety legislation that tightens rules on trains carrying explosive substances like those that were transported on the Norfolk Southern-operated train that derailed in Ohio on Feb. 3.

The accident caused a fire that sent a cloud of smoke over the town of East Palestine, Ohio, releasing over a million gallons of hazardous materials and pollutants, and forced thousands of residents to evacuate.

"The industry is definitely on board with a number of things" in that legislation, Hinrichs said on the sidelines of the Reuters Events Supply Chain conference in Chicago. "We have disagreements with some things, but we're part of the conversation and working through it."

For example, he said, the industry does not want two-person crews written into the legislation because technology could evolve to improve safety to the point where one person would be equally safe.

Hinrichs, a former Ford Motor (NYSE:F) Co executive who became CEO at the No. 3 U.S. railroad last year, said railroad operators could benefit by adopting strategies from automakers who collaborate and share best practices on safety.

© Reuters. FILE PHOTO: A CSX freight train heads westbound out of a tunnel into Harpers Ferry, West Virginia October 16, 2012. REUTERS/Gary Cameron

Nevertheless, he said, U.S. railroads are committed to reducing accidents, which will benefit the companies and their employees, as well as customers and communities near tracks.

"We want safety as much as you do," Hinrichs said.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.