BNSF Railway has petitioned the Surface Transportation Board (STB) to immediately review and enforce competitive conditions from the 1996 Union Pacific–Southern Pacific (UP/SP) merger, arguing that UP has a longstanding pattern of reducing rail service options for shippers.
The filing comes shortly after Norfolk Southern shareholders approved a merger with Union Pacific, a proposed transaction that would create the nation’s first coast-to-coast transcontinental railroad by early 2027, pending STB approval.
BNSF says the new UP–NS deal raises the stakes for shippers nationwide, making it critical that UP complies with the commitments it made nearly 30 years ago. According to Jill Mulligan, BNSF's executive vice president and chief legal officer, regulators must preserve the level of competition guaranteed under the UP/SP merger before considering any new consolidation.
In its petition, BNSF asked the STB to take a comprehensive look at how Union Pacific has carried out the competitive conditions set during the UP/SP merger and to enforce the access rights BNSF was granted to ensure shippers retain meaningful service options. The railroad also urges the board to modify those conditions if needed to prevent further harm and safeguard the public interest. Additionally, BNSF is requesting that the STB establish a procedural schedule that allows all parties to fully develop the evidentiary record for the board’s review.
The petition amplifies a broader industry debate already intensifying around the proposed UP–NS merger. Both BNSF and Canadian Pacific Kansas City (CPKC) have publicly raised concerns about diminished competition and the potential loss of viable intermodal service lanes.
While UP has pledged to keep more than 300 intermodal lanes open where service overlaps currently exist among UP, Norfolk Southern, BNSF and CSX, Katie Farmer, CEO of BNSF, warned that UP has raised rates on competing interchange partners after previous mergers.
BNSF is urging the STB to address UP’s past compliance issues before a new merger reshapes the U.S. rail landscape and supply chain.
