Question

Recent figures show that almost 60 percent of the volume of freight movements in the United States ships by truck. Railroads are far more fuel-efficient on a ton-mile basis—CSX advertises it can move a ton of freight 468 miles on a gallon of fuel. 2 Why is it that rail does not have a greater share of the freight market in the United States?

Short answer

Railways and Roadways (trucks) are the two important modes of transportation used in the United States for logistics. These two modes are the common ways among all. Both these modes involve fuel consumption and both can be used to locate heavy goods in less time.

Step-by-step solution

Importance of Roadways

Roadways help them to connect with the locality and the area. It is more beneficial than other modes of transportation because it enables them to get in touch with the safest route even though sometimes it seems difficult to use this mode of transportation over the others.

Reason for rail not having a greater share of the freight market in the USA

Almost 60% of the volume of freight movements in the U.S. ships by trucks even though it consumes fuels. As with most freight movements, the demand for the trucks is more as compared to any other mode which is one of the reasons for having a great share in the freight market in the United States. For transportation of small goods such as apparel, consumer durables, equipment, etc. trucks are used.