Get Ahead of Tariffs and Lean on Kanban Logistics for NC Rail Freight Transloading

As tariffs on imported goods like steel and aluminum continue to impact global trade, businesses must find cost-effective and efficient shipping solutions. Rail freight remains a reliable and economical option, especially for companies moving large, heavy, or bulk commodities. With the rising costs of trucking and ongoing supply chain disruptions, leveraging rail can help shippers navigate these challenges while optimizing transportation costs.

In this article, we’ll take a closer look at the advantages of rail freight and tell you how Kanban Logistics’ rail transload services can support your supply chain operations on the East Coast.

Advantages of Rail Freight vs. Trucking

1. Cost Savings – Rail freight can be more economical than trucking as a single railcar can hold the equivalent of four truckloads, reducing the cost per unit shipped.
2. Fuel Efficiency – Trains are up to four times more fuel-efficient than trucks, helping shippers cut down on fuel costs and emissions.
3. Capacity and Reliability – With the ongoing driver shortage in the trucking industry and rising fuel costs, rail offers a more stable and scalable alternative for long-haul transportation.
4. Sustainability – Rail transport significantly reduces greenhouse gas emissions compared to OTR trucking, making it an environmentally responsible option for shippers.

Kanban Logistics' Rail Transload Capabilities in Rocky Mount, NC

While some companies will ship freight via rail for the entire distribution journey, others will use rail for part of the trip and handle the final mile with a truck, reducing reliance on OTR and reducing costs in the process. Either shipper will benefit from partnering with a 3PL provider that operates a rail transload facility.

Such a facility can unload railcars and store the product in the warehouse or put the goods onto a trailer or flatbed for immediate distribution. The process can also be reversed for outbound shipments.

Kanban Logistics’ distribution campus in Rocky Mount, NC is served by CSX rail and the recently developed and expanded CSX Carolina Connector intermodal terminal. We’re able to support incoming rail freight from the CSX railway in one of two ways:

• Boxcars can be brought up to one of our warehouse’s four rail-siding doors. They can then be unloaded directly into the warehouse before heading back out to the rail.
• Center-beam cars are brought to our transload yard. The products can then be transported inside the warehouse or loaded onto trucks for delivery.

Navigating Tariffs and Rail Freight Challenges

A major consideration for rail shippers today is the ongoing impact of tariffs on imported goods, particularly steel and aluminum. The U.S. government recently expanded tariffs under Section 232, affecting a wide range of imported metals.

According to White & Case, these tariffs were put in place to protect domestic metal production but have also increased costs for businesses importing and transporting these materials.

For businesses importing large industrial materials, Kanban’s Rocky Mount transload facility offers a cost-effective way to move these and other commodities from the East Coast.

• Lower Transportation Costs – Importers facing increased material costs can offset some expenses by utilizing rail’s lower freight rates.

• Cross-Docking & Warehousing: The facility enables smooth transfers from rail to truck, supported by Kanban’s warehousing and distribution services.

• Proximity to Key Ports – With its strategic East Coast location, Kanban supports shippers bringing in goods from major ports such as Norfolk, VA, and Charleston, SC.
• Foreign Trade Zone (FTZ) - Kanban Logistics operates the only activated general-purpose FTZ in Eastern North Carolina. With 175,000 square feet of climate-controlled storage, rail siding, and a full-service transload yard, Kanban’s FTZ is a vital resource for businesses seeking to optimize their supply chains.

Lean on Kanban Logistics for East Coast Rail Freight Transloading

As tariffs and supply chain disruptions continue to impact logistics, businesses must seek efficient and cost-effective shipping strategies. Rail freight—combined with Kanban Logistics’ transload capabilities—offers a scalable and economical solution for companies moving bulk materials like steel, aluminum, and chemicals.

By partnering with Kanban Logistics in Rocky Mount, NC, businesses can take advantage of lower costs, reliable transportation, and streamlined supply chain solutions. Ready to optimize your rail freight strategy? Contact Kanban today to learn more about how our transload facility can support your business.