Steering Through a Changing Automotive Industry
NOV 14, 2024

Steering Through a Changing Automotive Industry

A little-known fact: CN transports over half of the finished vehicles sold in Canada. We are focused on driving efficient, reliable transportation solutions for finished vehicles and auto parts throughout North America. By leveraging our network advantages, we offer ocean carriers, original equipment manufacturers and logistics providers a diverse range of unparalleled services.

Driving Supply Chain Flexibility

CN’s expansive three-coast network, reaching Vancouver, Halifax, and Mobile, seamlessly connects North America’s automotive industry with reliable service options for every step in the supply chain. From auto materials and parts to fully assembled vehicles, we ensure the smooth movement of goods through partnerships with other Class I carriers, providing direct rail connections at key gateways. This network of connections offers our automotive customers flexible routing options to destinations across Canada, the U.S., and Mexico.

Supporting automotive production and delivery, CN services 12 assembly plants in Ontario, Mississippi, and Michigan, alongside 18 auto compounds across Canada and the U.S., dedicated to efficient distribution to dealerships. Our new compound in New Richmond, WI, enhances service in the northern Midwest, while the AutoMOBILE International Terminal in Alabama strengthens our capabilities in global imports and exports through its roll-on/roll-off operations.

With routes that reach major population centers, CN is well-equipped to transport vehicles across North America. The ports of Halifax and Vancouver further expand our network, providing import/export shippers with streamlined solutions and flexible access to a range of North American destinations.

Innovating for Growth

CN is the first railroad to partner with Stanley Robotics to use robots to move vehicles within our auto compounds. This revolutionary technology has improved safety, reduced damage, and allowed for more efficient use of space.

We continue to invest to enhance our network capacity and efficiency. This includes upgrading rail lines, expanding terminals, modernizing auto compounds, and implementing new technology to enhance safety, operational performance and customer service. To be ready for growth in the emerging electric vehicle (EV) market, we have equipped all our Canadian auto compounds with EV charging stations.

The Future Is Electrifying

As the industry continues to evolve, CN is committed to helping our existing and new customers develop the future value chain and manage the transition to EVs. This exciting shift is providing CN with new opportunities as EV assembly plants, battery plants, raw material processing centers, and mines are being announced on or near our network.

The U.S. and Canada are rich in raw materials used for electric vehicles. Demand for aluminum is expected to increase as a lighter alternative to steel in EV manufacturing. EV battery production is also expected to create long-term opportunities for CN to transport critical inputs like lithium, copper, nickel, cobalt and graphite. Canada has large deposits of these materials, and CN is actively working with our customers on supply chain solutions.

Inbound solutions for automotive manufacturing

CN provides a range of shipping options to help move the parts and materials needed for modern vehicle manufacturing. We understand the importance of just-in-time delivery and offer flexible solutions to meet your needs.

Our intermodal services handle 20-, 40-, and 53-foot containers for both international and domestic shipments, with our Falcon Premium Canada-US-Mexico service available for time-sensitive deliveries. We also offer transloading at key ports on western and eastern coasts, making it easy to shift from 40-foot ocean containers to 53-foot domestic ones to streamline your supply chain. Explore CN’s distribution services, transloading, and warehousing for your shipping needs.

For large or heavy materials, CN’s boxcar fleet offers cost-effective advantages in both space and weight compared to trucks. If your facilities aren’t rail-served, we provide transload options near you to bridge that gap.

Rail is ideal for moving large components, like full-size trucks and SUVs. CN understands the specific needs of Original Equipment Manufacturers (OEMs) and has solutions that align with their tight delivery schedules.

In the evolving supply chain landscape and the dynamic shift towards carbon-friendly vehicles, CN provides efficient logistics solutions for the entire automotive supply chain. Learn more about CN’s service offering in the North American automotive supply chain or connect with our sales team to see how we can drive value for your business and support future growth.

CONTACT US