Pittsburgh-based U.S. Steel Corp. (NYSE: X) is working to transform freight rail sustainability.
The company is part of a three-way partnership, along with Norfolk Southern Corp. (NYSE: NSC) and The Greenbrier Cos. Inc. (NYSE: GBX), that are working to make freight rail more energy-efficient, starting with steel used in the gondola railcars themselves.
The partnership works like this: U.S. Steel supplies the steel to build the new railcars, using a formula that results in stronger, lighter steel and adapting advancements in steel-making that the company has previously applied to the automotive industry. Greenbrier engineers and builds the gondolas and Norfolk serves as the end-user, initially acquiring 800 railcars. The new railcars are a part of efforts to begin replacing the aging fleet of gondolas in North America with new sustainable models.
The companies say that the steel gondola railcars that they are working together to build feature several distinct benefits:
- They last longer. The steel used to build the cars, supplied by U.S. Steel is twice as strong as steel used in the regular manufacturing process of rail cars and has the potential to extend the usable life of the cars to 50 years.
- They are more energy-efficient. The fabrication of the steel used in the cars takes less time and uses less material. The steel is also lighter weight, so less fuel is needed to haul the railcars. In fact, each gondola’s unloaded weight is reduced by up to 15,000 pounds.
- The design of the gondolas allows for greater freight capacity. Due to the high-strength quality of the steel, less structural reinforcement is needed within the car, making room for more cargo, which is often loose bulk material like metal scraps, wood chips or steel slabs.
“This remarkable collaboration with our partners at Norfolk Southern and Greenbrier is helping realize the full potential of U.S. Steel’s continued product innovations as sustainable solutions for the steel and transportation industries,” U.S. Steel President and CEO, David Burritt, said in a release. “We’ve often said that together we can do anything! This joint initiative proves that point with an innovative railcar that is stronger, lighter and more capable, with the planet being the ultimate beneficiary.”
