Canadian National Railway Market Impact and Government Response

Canadian railway closure impact trade and Economy

The Holocene closure of Canadas two major cargo railway , Canadian National ( CN ) and Canadian Pacific Kansas City Southern ( CPKC ) , has left 9,000 member of the teamster union lock out from operate the train . This action could potentially interrupt operations in assorted US industry that trust on the free motion of good across the US - Canadian boundary_line , include agribusiness , car , home building , and energy . The closure , which is not a strike but a lockout by management , highlight the interconnection of the two state economy , with many industry facing potential deficit and disruptions.

The Teamsters union has been quest a contract that balance remainder time and safety hazard , while the railway argue that their proposal supply greater safety protection than necessitate by Canadian regulation . The failure to range an agreement before the deadline has light-emitting_diode to the closure , with economist warning of significant economic losings . A three - day strike could cause 00 million in economic damage , while a seven - day strike would exceed billion . The lack of truck capacity to handle the cargo normally transport by the railway attention_deficit_disorder to the economic concerns.

government intervention and industry Impact

negotiation between the union and management have continue , with Prime Minister Justin Trudeau goad both side to range a resolution . The potential lay_waste_to impact of the arrest on Canadian business and family , as well as the US economy , has motivate call for government intervention . However , the Trudeau administration has defy call for binding arbitration , departure the situation unsolved . railing network in the US and Mexico continue to operate , but the effects of the closure in Canada could be felt across North America.

The arrest in railing cargo has already cause break , with embargo on chemical like ammonia_water and chlorine to prevent them from being maroon on the track . industry such as agribusiness and meat processing are at hazard due to the reliance on railing for transportation_system . The Canadian Pork Council has warn of the social_welfare hazard to animal if feed can not be deliver . The closure could also impact commuter theodolite in major Canadian city , further highlight the widespread consequence of the railway lockout.

government response and Predictions

With million of Canadian occupation at interest , the government face pressure to resoluteness the labor dispute and prevent foster economic losings . The potential impact on cross - boundary_line trade and the flow of good underscore the urgency of determination a solution . If an agreement is not reach soon , the government may see pass back - to - work legislation , as see in past dispute . Despite the challenge confront by the railing industry , stakeholder are aspirant for a resolution that balance safety , economic stability , and the well - being of worker and community . The approach days will be crucial in determine the result of the Canadian railing closure and its wide deduction for the North American economy.