Walmart Getting Into the Freight Rail Business

"Walmart has launched its own fleet of intermodal containers and begun using its own drivers to move containers from rail hubs to Walmart stores," reports Emma Cosgrove.

Walmart has been operating the pilot program out of Southern Caliofrnia since summer 2018. Walmart has even designed its own container including chassis, doublestacking capability, and a roll-up door to allow for more flexibility in unloading at stores, according to Cosgrove.

So far, the company is saving two to three days on a trip from Southern California to South Florida. "Taking control of containers directly from railroads is also saving time. Class I railroads continue a slow march toward precision scheduled rail (PSR), which can make for fewer options and less flexibility, but often greater reliability for shippers," according to Cosgrove.