The proposed coast-to-coast merger of Union Pacific and Norfolk Southern is bad for the industry, a rival CEO warned, and would give the transcontinental behemoth a dominant 50% share of all U.S. rail freight.

“We’ve had lots of opportunities to be very clear that we’re opposed to this merger, and we don’t think it’s good for the industry,” said Katie Farmer, chief executive of BNSF Railway. “Make no mistake, this is a consolidation of almost 50% of all the rail volume…to one road. When you consolidate 50% of all rail volume that moves under one carrier, you eliminate, or significantly reduce, flexibility for customers, optionality, and ultimately there’s going to be fewer interchange points. You have one railroad that is looking to optimize their network, and based on what’s happened in the past, that is not always good for customers.”

Merged UP-NS would control half of all rail freight: BNSF CEO – FreightWaves