The major new study indicates a total GDP impact of the U.S. rail supply industry to be more than $75 billion in 2020. According to the data, the total employment impact of the industry surpassed more than 680,000 jobs. Employees in the rail supply industry receive more than $91,200 on average–34% more pay than the national average. 

RSI President Patty Long released the following statement.

“The rail supply industry plays an essential and powerful role in driving the U.S. economy and the results of this study are undeniable,” said Long. “Despite COVID-19 challenges to the supply chain felt around the world, it’s apparent that the industry is continuing to bounce back.”

In addition to GDP contributions and supported jobs, the study notes more than $15 billion in tax contribution within the U.S., $8.61 billion of which as contributed at the state and local levels.

“The rail industry is a vital economic driver that effects everyday life across the nation. This report proves how far reaching the impact is in today’s world,” said Urszula Soucie, President of REMSA. “We are excited to support the launch of this report and grow awareness of the positive influence our industry has on the country.” 

“Both the direct and indirect economic contributions made on an annual basis emphasize the importance of the rail supply industry,” added Dr. Nate Irby, Executive Director, Railway Tie Association. “From employment numbers to compensation and more, the impact is felt nationwide and we’re proud to help bring this data to light.”

The study was compiled in partnership with Oxford Economics. Hamilton Galloway, Head of Consulting for Oxford Economics, said “the contribution of the rail supply industry underscores the far-reaching importance of the rail manufacturing sector’s support of quality jobs, which enable rail transportation to move billions of tons of raw materials and finished goods. Our modeling shows that rail supply supports economic activity in every state.”

Visit the RSI website for the full report along with state-specific highlights and data.

About the Railway Supply Institute (RSI)

The Railway Supply Institute (RSI) is a trade association representing more than 160 companies involved in the manufacture of products and services in the freight car, tank car, locomotive, maintenance-of-way, communications and signaling, and passenger rail industries. RSI connects members to their customers and partners, supports the improvement of the industry, assists members in the global marketplace, and represents the industry during the regulatory and legislative process. For more information visit www.rsiweb.org, follow RSI on Twitter and join the RSI LinkedIn group.

About the Railway Engineering-Maintenance Suppliers Association (REMSA)

The Railway Engineering-Maintenance Suppliers Association (REMSA) was created in 1965 by the merger of the Association of Track and Structure Suppliers and the National Railway Appliances Association, two long-standing organizations in the railroad maintenance-of-way industry. The association represents companies and individuals who manufacture or sell maintenance-of-way equipment, products, and services, or are engineers, contractors and consultants working in construction and/or maintenance of railroad transportation facilities. REMSA members constitute a large part of the maintenance-of-way industry. The association sponsors the largest exhibit of maintenance-of-way equipment, products and services in the United States. REMSA members exhibit rail and track products, track maintenance equipment and services, safety devices and software that enables the railroad industry to work smarter. For more information, visit www.remsa.org.

About the Railway Tie Association (RTA)

The Railway Tie Association (RTA) was organized in 1919. Predecessor groups, dating back to the late 1800s, including The National Association of Railroad Tie Producers, were formed to support the railroad tie industry and to preserve forests through conservation. The Association is involved in all aspects of the crosstie industry and ongoing activities such as sound forest management, timber resource conservation, timber processing, wood preservation, sustainability, recycling, industry economics and statistics, and worker safety. The purpose of the RTA is to keep wood crosstie markets strong and sustainable.

About Oxford Economics 

Oxford Economics is a global economics consultancy firm based in Oxford, UK. It provides economic analysis, forecasts, and advisory services to businesses, financial institutions, and governments. The firm’s services include macroeconomic analysis, country and industry analysis, and customized research and consulting projects. Oxford Economics draws on a combination of economic models and expertise to provide clients with actionable insights and support decision-making.

The post <strong>RSI, REMSA & RTA Announce Latest Economic Impact Study, Demonstrating Power of the Rail Supply Industry</strong> appeared first on RSI.

“I’m proud to be joining these two organizations in a commitment to address some of our most important challenges facing the industry today,” said Patty Long, RSI President. “Recent international events have truly underscored the strategic importance of freight and passenger rail to world markets.”

“The railway supply industry in Canada, the United States and Europe are strategic manufacturing sectors. Currently, significant investment in rail projects is occurring on both sides of the Atlantic. This MoU further solidifies the recognition that rail is the greenest and safest means of moving both people and freight,” said Sylvia Newell, President of CARS.

The MoU will begin a new phase in the long-standing cooperation between the organizations across a number of areas including – but not limited to – public procurement, global standards and skills. The agreement opens the door to deepened collaboration need to foster the health and future growth of the industry, while enabling the identification of emerging opportunities for the organizations to work together in advancing those objectives.

“In this critical time for railway suppliers, I cannot emphasize enough how valuable our partnership with RSI and CARS will be,” said Philippe Citroën, Director General of UNIFE. “By joining together to advocate for increased rail investment in Europe, the United States and Canada, our respective members are leading the way to a sustainable mobility future needed for renewed prosperity, equity and resiliency.”

A full copy of the Memorandum can be found here.

About the Canadian Association of Railway Suppliers (CARS)
The Canadian Association of Railway Suppliers (CARS) has been around for many years but incorporated in its current form in 1991 representing companies selling products and services to railways and transits domestically and internationally. CARS represents over 140 companies who are important to the operations of the railways and transit authorities. CARS is a member driven association of companies that supply products and services to Canadian railways and export markets. Our membership includes a wide variety of large, medium and small businesses. As an advocacy group, we promote a competitive framework for research and development and the vitality and importance of the rail supply sector and railways in Canada. For more information visit www.railwaysuppliers.ca

About the Railway Supply Institute (RSI)
The Railway Supply Institute (RSI) is the only all-inclusive trade association for railway suppliers in the United States. Representing more than 160 companies, RSI acts on behalf of the smallest and the largest suppliers to North American freight and passenger railroads. Industry segments include the mechanical, rolling stock, communications and signaling, maintenance of way, and passenger industries. For more information visit www.rsiweb.org, follow RSI on Twitter and join the RSI LinkedIn group.

About the European Rail Supply Industry Association (UNIFE) Operating in Brussels since 1992, UNIFE represents European train builders and rail suppliers. The association advocates on behalf of more than 100 of Europe’s leading rail supply companies – from SMEs to major industrial champions – active in the design, manufacture, maintenance and refurbishment of rail transport systems, subsystems and related equipment. UNIFE also brings together national rail industry associations from 12 European countries. For more information visit www.unife.org and follow UNIFE on Twitter and LinkedIn.

The post <strong>RSI, CARS and UNIFE Sign Memorandum of Understanding to Advance the Railway Supply Industry</strong> appeared first on RSI.

Hamel, MN – March 28, 2018 – Senator Amy Klobcuhar (D-MN), a member of the Senate Commerce, Science and Transportation Committee, which oversees railroad policy, joined representatives from Loram Maintenance of Way, Inc., United Steel Workers Local 2002-9, Operation Lifesaver, Inc., Amtrak and local Minnesota railroads for a tour of Loram’s state-of-the-art manufacturing facility and a discussion on rail safety programs and continued economic development in greater-Minneapolis. The American Short Line and Regional Railroad Association (ASLRRA), GoRail, the National Railroad Construction and Maintenance Association (NRC), the Railway Engineering-Maintenance and Suppliers Association (REMSA), and the Railway Supply Institute (RSI) coordinated the event. Together the groups represent a diverse group of railroad stakeholders in Minnesota: Class I railroads, short line railroads, railroad contractors, and railroad suppliers.

Founded in 1954, Loram Maintenance of Way started out as a small operation consisting of two simple machines, and a handful of employees. Today, Loram has become one of the leading suppliers of track maintenance machinery and services in North America and the global market. Loram provides maintenance of way services to Class I and short line railroads, transits, and commuter rails. They employ over 1,200 globally, with over 368 residing in Minnesota. Loram is a proud member of ASLRRA, GoRail, NRC, REMSA, and RSI.

The facility tour was led by Loram President & CEO Phil Homan.

“Senator Klobuchar serves in a crucial oversight role and we appreciate her leadership advocating for increased infrastructure investments and encouraging the use of cutting-edge technologies on the rail network” said Homan. “The privately funded and maintained freight railroad network is one of the few bright spots in America’s infrastructure network and recently received a ‘B’ grade from the American Society of Civil Engineers. It is critical that our lawmakers encourage policies that allow railroads to earn an appropriate return on their infrastructure investments so we can continue to safely expand and upgrade the network. Loram and our employees are extremely proud to provide railroads and transit systems innovative and reliable track maintenance machines and create jobs here in Minnesota.”

U.S. Senator Amy Klobuchar was elected in 2006 and is serving her second term. She is the first woman elected to represent the State of Minnesota in the United States Senate. As a member of the Senate Commerce Committee, Sen. Klobuchar has been a leader in working to implement a competitive agenda to ensure businesses have the tools they need to grow and create good jobs in their communities.

The group highlighted Senator Klobuchar’s support of the BRACE Act, S.407, which would make permanent the Short Line Tax Credit. The credit was retroactively extended to cover 2017 in the recently passed budget deal, but is currently off the books for 2018 and beyond. Sen. Klobuchar is a co-sponsor of S. 407.

The group also spoke about the possibility of a Congressional infrastructure package. As a part of the package, the group called for predictable and dedicated capital investments for intercity passenger rail and no increases in truck weight or size. At current weight and size limits, trucks already cause more damage than they pay for to our nation’s highways.

“Loram Maintenance of Way is a key supplier partner, providing equipment and services short lines need to maintain their rail infrastructure and operate safely and reliably,” said Linda Bauer Darr, President of ASLRRA. “The short line railroad tax credit, which would be made permanent by the BRACE Act, is an essential piece of the economic puzzle, allowing short lines to invest more of their own capital in rail improvements and maintenance to provide ever-safer and more robust service capabilities for their customers. Increased capital investments supported by the short line tax credit benefit the entire US rail supply industry.”

“Hands-on, local experiences like this are invaluable for demonstrating the freight rail story to policymakers,” said Larry Lloyd, Minnesota state director at GoRail. “Like Loram, thousands of businesses across the U.S. are directly and indirectly supported when railroads spend private dollars that create public benefits, from more efficient and cost-effective transportation for shippers to less congestion and pollution for citizens.”

“Thank you to Loram for hosting Senator Klobuchar today to share the importance of well-paying rail construction and supply job creation,” said Matt Bell, COO, NRC. “Railroad contractors in Minnesota and across the United thank Senator Klobuchar for being supportive of federal rail infrastructure investments. We also encourage Senator Klobuchar to continue to fight against increasing the federal limit of the size and weight of trucks that are allowed on our nation’s highways. Increasing federal truck size or weight limits would raise costs to Minnesota state and local transportation agencies and create unsafe conditions on our highways.”

“We greatly appreciate Loram’s leadership in hosting Senator Klobuchar to share their Minnesota rail supply success story,” said Sean Winkler, Director of Advocacy, REMSA. “Forward-thinking, evidence-based federal policies are critical to the continued success of the rail supply industry. Our stakeholders here today look forward to continuing to work with Senator Klobuchar to ensure Minnesota businesses can efficiently and safely access the world market by rail.”

“Rail supply companies are a vital component of the U.S. rail industry,” said Nicole Brewin, Vice President Government Affairs, RSI. “America’s railway suppliers represent a $28 billion/year industry supporting more than 100,000 American workers. Investment in rail helps support rail supply jobs in heartland communities in more than 44 states and hundreds of congressional districts.”

The group was also joined by Minnesota Operation Lifesaver, Inc., a statewide nonprofit, affiliated with Operation Lifesaver, Inc. whose mission is to raise awareness and provide free education to drivers and pedestrians alike about how to make safer decisions around tracks and trains in an effort to bring the number of preventable tragedies closer to zero. Since the organization began educating people nationwide in the 1970’s there has been an over 80% reduction in collisions between vehicles and trains. However, grade-crossing collisions remain a continuing concern.

Also in attendance were David Badger, Vice President, Manufacturing & Supply Chain, Loram; Jason Culotta, Director, Public Affairs, Progressive Rail, Inc.; Sheryl Cummings, Executive Director, Minnesota Operation Lifesaver; Katie Hadenfeldt, Vice President, Sales and Marketing, Loram & RSI Director; Derrick James, Senior Manager, State Relations & Business Development, Amtrak; Maureen Markey, Director of Membership and Communications, RSI; Fred Oelsner, Legislative Policy Associate, ASLRRA; Mark Wegner, President & CEO, Twin Cities & Western Railroad Company; and Bradley Willems, CFO, Loram & REMSA Director.

In Minnesota, 19 freight railroads operate over 4,200 track miles and employ over 4,500. Together, ASLRRA, NRC, RSI and REMSA represent over 50 rail construction and supply companies in Minnesota.

RSI Contact: Nicole Brewin, VP Government Affairs, Railway Supply Institute

The American Short Line & Regional Railroad Association (ASLRRA) represents the nearly 600 short lines and regional railroads throughout North America. Taken together, short lines railroads operate 50,000 miles of track or nearly 40 percent of the national railroad network, and handle in origination or destination one out of every four rail cars moving on the national system. They have grown from 8,000 miles of track in 1980 to 50,000 miles today. Short lines haul a wide range of goods including chemicals, food products, aggregates and intermodal. www.aslrra.org.

GoRail is a national grassroots organization that educates community leaders across the country about the public benefits of freight rail investments, mobilizing them in support of an even stronger rail network. We believe every ton of freight moved by rail strengthens the economy, creates jobs, mitigates pollution and saves taxpayers money. www.gorail.org.

The National Railroad Construction and Maintenance Association (NRC) is the national trade association representing the independent railroad construction and supply industries. NRC members perform every type of rail infrastructure work possible from design and engineering to basic construction and maintenance to highly specialized and custom jobs. NRC members serve Class 1 railroads, short line and regional railroads, industrial track owners, the U.S. military, port facilities and terminals, and rail transit agencies. The NRC represents more than 425 rail construction and maintenance contractors, suppliers, and associated professional service firms. www.nrcma.org.

The Railway Supply Institute (RSI) represents over 250 companies and acts on behalf of the largest and smallest suppliers to North American freight and passenger railroads. Industry segments include mechanical, communications & signaling, maintenance of way and passenger industries. RSI’s mission is to support, connect and advocate for railway suppliers. www.rsiweb.org.

The Railway Engineering-Maintenance Suppliers Association (REMSA) is a non-profit membership-based organization located in Washington, D.C. that represents and promotes companies and individuals who manufacture or sell products and/or services in the railroad maintenance-of-way (MOW) industry. Our $5 billion MOW industry supports over 35,000 jobs nationwide. Nineteen of our members maintain operations in Minnesota. www.remsa.org.

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