U.S. MEXICO RAIL TRANSBORDER TRAFFIC OVERVIEW U.S. Mexico Chamber of Commerce – Mid America Chapter October 18th - Southfield, MI U.S. / Mexico Rail Traffic Overview Cumulative, 40 Weeks - US Rail Traffic Ending October 6: 2012 2011 Change Carloads 11,325,845 11,633,099 -2.60% Intermodal 9,462,377 9,123,282 3.70% (Top Commodities Shipped Coal, Chemicals & Grain) Cumulative, 40 Weeks - MX Rail Traffic Ending October 6: 2012 2011 Change Carloads 574,395 573,825 0.10% Intermodal 396,116 335,428 18.10% (Top Commodities Vehicles/Parts, Stone/Clay/Glass & Metallic Ores) Source AAR Mexico's Railway Network Carried Record 108 million Tonnes in 2011, of Which 6.9 Million was IM. (Freight Volumes Increased Over 100% Since Privatization) Rail Carries About 42 Percent of Freight in US, But Only 26 Percent in Mexico. Great Deal of Growth Potential Still Untapped. Rail Offers Better Security on Freight Goods. Customer Claims Due to Theft, Vandalism or Damage Account for Only .02 of total shipments. CN and CP UP and BN FXE and KCSM CSX and NS KCS CGR U.S.Trade With Mexico by Top Rail Ports: 2006 – 2011 Value in Billions of U.S. Dollars 30 25 20 Laredo, TX 15 Eagle Pass, TX Nogales, AZ 10 El Paso, TX 5 0 2006 2007 2008 Source: BTS Transborder Surface Freight Data 2009 2010 2011 Origin Destination Transit Detroit Monterrey 8 days Detroit San Luis Potosi 9 days Detroit Mexico City 10 days Rail Service from Detroit to MX Railroads: The Green Option “For shipments over 1,000 miles, using intermodal transport cuts fuel use and greenhouse gas emissions by 65%, relative to truck alone.” U.S. Environmental Protection Agency In 2011, U.S. freight railroads moved a ton of freight an average of 469 miles per gallon of fuel. Source: AAR Door to Door Supply Chain Solutions Ground Transportation Warehousing Automotive Distribution Center Rail Barge and Ferry Customs and Transportation Management Freight Forwarding In Summary Continue to make innovative investments Respond quickly to changing markets Listen to customers’ broader transportation needs and launch new solutions