Biden backs rail revival with climate change link

Significance

The rail industry is also stressing its green credentials as it seeks approval for a merger between Canadian Pacific and Kansas City Southern that would create the first company with a pan-North American freight line.

Impacts

• The impact of COVID-19 on demand for long-range travel, especially business travel, remains uncertain.
• Much of Amtrak's rolling stock is at or near the end of its useful service life, pushing up operating costs.
• Rail and urban transit modernisation would support Biden's aim of creating more jobs in US manufacturing and infrastructure.
• Replacing highway-funding petrol taxes with vehicle usage fees would encourage freight to move from road to rail.