“The combined rail system would offer the reliability our business community has been asking for…”

by NATHAN BALLENTINE

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For as long as I’ve served in the South Carolina House, I’ve believed that strong infrastructure is the backbone of a strong economy. Whether talking about roads, bridges, broadband, or freight mobility, our ability to efficiently move people and goods determines how competitive our state will be in the decades ahead. South Carolina continues to grow at one of the fastest rates in the country, and with that growth comes a responsibility to ensure our logistics network can meet the demands of modern commerce.

That is why the proposed merger between Union Pacific (UP) and Norfolk Southern (NS) deserves thoughtful consideration, not just at the national level, but here at home. South Carolina’s economic success is directly tied to reliable freight transportation. From advanced manufacturing in the Upstate, to the distribution and warehousing centers in the Midlands, to the countless businesses that depend on steady supply chains, every region of our state relies on a freight system that works smoothly and predictably.

When freight rail is fragmented across multiple networks, bottlenecks and delays become far more common. Businesses, especially those operating with tight production schedules and narrow delivery windows, feel the impacts immediately. A delayed railcar can throw off inventory planning, disrupt operations, and create ripple effects that stretch across an entire supply chain. These unpredictable slowdowns can be enormously costly for the companies that keep South Carolina’s economy moving.

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The Union Pacific–Norfolk Southern merger aims to address many of these longstanding challenges. By creating a unified network connecting more than 50,000 miles of track and linking 43 states with over 100 ports nationwide, the combined rail system would offer something our business community has been asking for: reliability. Studies indicate the merger could generate approximately $1 billion in annual cost savings and improve freight-car velocity by around 10 percent. These aren’t abstract figures, they reflect tangible improvements that would strengthen operations for employers, distributors, retailers, and consumers alike.

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“Economic development teams would also have an even stronger pitch when attracting new employers to South Carolina…”

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A more dependable rail network means companies can plan with greater precision, suppliers can manage logistics with fewer surprises, and transportation partners can commit to schedules with increased confidence. Economic development teams would also have an even stronger pitch when attracting new employers to South Carolina: not just a skilled workforce and business-friendly climate, but a transportation network capable of supporting long-term growth.

Improved rail performance also benefits South Carolina’s infrastructure more broadly. Rail is one of the most efficient ways to move goods long distances. Every shipment that travels by rail instead of truck reduces congestion on our highways, lowers fuel costs, and decreases wear and tear on roads that taxpayers ultimately fund. Better rail capacity complements, rather than replaces, our ongoing efforts to invest in roads and bridges across the state. It allows us to stretch transportation dollars further and focus on the improvements most needed in fast-growing communities.

Another important factor is competitiveness. States across the Southeast are aggressively investing in logistics infrastructure to position themselves as national leaders in manufacturing and distribution. If South Carolina wants to stay ahead, and continue attracting companies that create stable, high-quality jobs, we must support improvements that strengthen the reliability and efficiency of our freight network. The Union Pacific–Norfolk Southern merger presents an opportunity to do just that.

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RELATED | SOURCES: S.C. LAWMAKERS THREATEN SUPREME COURT

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As someone who has spent nearly two decades advocating for responsible, forward-looking growth in our state, I believe that modernizing our freight system is not just a transportation issue, it is an economic necessity. Ensuring that goods can move quickly, safely, and predictably is fundamental to the success of our businesses and the financial well-being of South Carolina families.

Federal regulators will ultimately determine the path forward, and their review should be thorough and transparent. But from where I sit, the potential benefits to our state are clear. A more integrated, efficient rail system will help South Carolina businesses compete, help consumers by keeping costs lower, and help our state maintain the strong economic momentum we’ve built over the past decade.

A stronger rail network means a stronger South Carolina, and that is a future we should fully support.

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ABOUT THE AUTHOR…

Nathan Ballentine represents the citizens of House District 71 in the S.C. General Assembly.

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