Thank you to everyone who attended Railway Interchange 2025. The event included over 4,000+ attendees from almost every state, 43 countries and nearly 500 exhibitors.

While in Indianapolis we interviewed speakers, attendees and exhibitors about projects on the horizon, collaboration with others in the rail industry and evolution in technology in the rail supply industry.

Check out the videos below to see their responses.

A special thank you to our interviewees:

Miranda Cross, Cummins Inc.

Kevin Cook, Modern Rail Capital

Robert Pearsall, US High Speed Rail Association

Mike McClellan, Norfolk Southern

The post On the Ground at Railway Interchange 2025 appeared first on RSI.

As predicted by many at Railway Interchange last year, the Trump administration is bringing political changes that will significantly impact transportation funding.

Ahead of this year’s event, we spoke with two Railway Interchange speakers, Husein Cumber, senior advisor, Brightline Holdings, and Robert Pearsall, partnerships director at U.S. High Speed Rail, to understand the current state of passenger and transit funding and how leaders should position their organizations in this new environment.

What are the most significant political changes impacting transportation funding that stakeholders should be aware of?

Husein Cumber: Each administration brings expected change to funding and policy that requires all of us to adapt and react. In less than 100 days, two things are apparent: the administration demands a return on investment for any project receiving taxpayer dollars; secondly, they want to see projects that have a clear path for completion.

In the past, projects have received the benefit of the doubt that they’ll be built in a timely manner while providing a public benefit. Now, we’re hearing, “Prove it.” This is a good thing and will ensure the best projects rise to the top.  

We’ve also seen this administration move swiftly to reward large-scale investments by removing red tape that typically delays critical infrastructure. President Trump is a developer who wants to incentivize investment and has signaled from his first day in office that he intends to cut red tape. Historically, this process causes delays, adds cost, and leads to uncertainty. A streamlined process that takes a set amount of time will likely motivate more private sector involvement and eliminate public skepticism that big infrastructure and transportation projects will get done. Again, this is a great thing that will ensure the best projects are prioritized.  

Robert Pearsall: The Trump administration is pulling back a lot of federal funding for high-speed rail (HSR) and other transit projects. In the HSR space for example, Department of Transportation Secretary Duffy and other administration officials have expressed public support for the Brightline West (mostly) private capital model for similar projects. The recent news of the Kleinheinz Equity investment in the Texas Central project is another indication that a similar model might get federal support.

How might these changes influence the future of passenger and transit funding? 

Husein Cumber: I think one of the biggest changes will be how this particular administration evaluates projects seeking discretionary grant funds. Beyond understanding the public benefit and return on investment, they want to know exactly how it will be built and paid for. In short, projects and entities vying for competitive grants must leave any guesswork out of the equation. Viable projects will be required to show a complete funding plan from start to finish because it is clear that this administration will not be supportive otherwise.

Robert Pearsall: States such as California will try to rely on state funding for its HSR rail projects and perhaps others in the transportation space.

What are some potential long-term implications that rail leaders need to be aware of in this arena? Is there any action that can/should be taken?  

Husein Cumber: All of these changes should be seen as an opportunity; we ought to lend our experience and expertise to these policy discussions. For example, our industry has been asking for a more definitive environmental review process for decades. We should be thinking about ways we can impact these adjustments.

As we look to kickstart high-speed rail, we have focused our efforts on utilizing existing transportation corridors like highways and freight systems. When you think about it, roadways and freight corridors should expedite the environmental review process even more because they are already environmentally studied and impacted. Our industry should come to the table with bold plans to change the environmental process and push for categorical exclusions for any project built within existing transportation corridors.  

Robert Pearsall: Continue to work with policymakers and stakeholders on short- and long-term planning. Plan slow, build fast. It’s important to build community support from the outset, too.

What strategies can the transportation industry adopt to navigate the new funding landscape?

Robert Pearsall: Build local and support your state. Avoid pitfalls of focusing on DEI-related elements of a project. Focus on the economic impacts of transportation projects. I made this case in Dallas at the 21st Southwestern Rail Conference to invest in the Texas Triangle, with some helpful data from the Texas Department of Transportation.

In any new political environment, be creative with your strategies. Look for opportunities to build bipartisan support. At U.S. High Speed Rail, we’re working closely with Republicans on permitting reform for all HSR projects, because Republicans will advance permitting reform in other areas such as energy projects. The current administration is amenable to streamlining and cutting red tape, which we see as an important opportunity that will help speed up HSR projects.

On Wednesday, May 21, Cumber and Pearsall will be joined onstage by Benji Schwartz, director of government affairs and advocacy at APTA, and Greg Regan, president, transportation trades department, AFL-CIO (TTD), during their session titled, “Adapting to Change: Navigating Passenger Rail Funding in the New Political Landscape.” Learn more and register for Railway Interchange today.

The post How the Current Legislative Landscape Is Impacting the Future of Passenger Rail  appeared first on RSI.

Recent changes to economic and trade policies are fueling significant challenges within the freight rail industry. As decision-makers face uncertainty, particularly around rail traffic and equipment demand, many are left to wonder whether they should proceed with caution or move forward as planned.

At Railway Interchange, taking place May 20-22 in Indianapolis, Joseph Towers, senior analyst for rail and intermodal at FTR Transportation Intelligence, will help attendees try to make sense of the current landscape. Ahead of that session, we spoke with him to understand how today’s economic outlook is impacting the freight rail industry and what leaders can keep in mind as they navigate this territory.  

How are you seeing tariffs impact freight rail? What are some considerations leaders need to keep in mind?

Over the past few months and weeks, we’ve seen a pull forward of rail freight for certain commodities in anticipation of tariffs, with intermodal and autos being the most notable. Those strong volumes, however, are expected to come at the expense of traffic later in the year, due in large part to the broad tariffs on non-United States-Mexico-Canada Agreement (USMCA) auto imports, and the 145% tariffs recently levied against Chinese imports.

Our outlook for the other commodities is not much better. With broad tariffs on steel and aluminum imports, much of which comes from Canada and Mexico, along with the tariffs on non-USMCA covered goods, and the possibility of reciprocal tariffs on some of our closest trade partners, we’re expected rail traffic this year to be flat at best.

On the equipment side, the uncertainty surrounding tariffs is arguably the most significant effect, even more so than the inflationary pressures. With tariff policy constantly changing, and the lead times required between the order and delivery of a car, few want to buy a piece of rail equipment that could cost substantially more than anticipated by the time it arrives.

What changes in railcar demand are you anticipating this year, and how is that different from your expectations coming into 2025?

As we entered 2025, we were already anticipating softer railcar demand due to flat freight demand and diminishing industry backlogs. Since then, our expectations have become even less optimistic. Based on recent build and economic data, along with conversations with stakeholders across the industry, we now expect demand for new railcars to be even softer, with this weakness likely to affect a broad range of car types.

Much of this softness appears to stem from the uncertainty surrounding tariff policies and the possibility of railcar owners and lessees facing higher-than-anticipated costs for their equipment. Concerns about the strength of the industrial economy also seem to be contributing to this uncertainty.

The effects of this hesitancy could manifest in various ways. We may see increased shop demand as operators look to extend the useful life of existing railcars, as well as higher lease rates, as demand for lessor-owned cars rises to fill the gap that would typically be filled by new cars. Lastly, if freight and economic conditions remain flat, we may see an uptick in scrappage levels as car owners look to offload idled rail equipment.

What is your advice for leaders trying to navigate this uncertainty?

Whatever you think is going to happen, is not going to happen. This is usually the case, but it’s especially true now. My advice to leaders is to be as nimble as possible and create a strategy framework based on multiple scenarios, rather than a single base case. It’s also important that these scenarios are not static but are constantly updated as new information becomes available.

I would also suggest trying to avoid unnecessarily postponing decisions until a time when there is less uncertainty in the market. Economic conditions will remain volatile for the foreseeable future, and in many cases the ability to course correct will serve you better than waiting for calmer seas.

The post Making Sense of Tariffs and Inflation for Freight Rail appeared first on RSI.