Congestion and hefty price increases hit intermodal west coast traffic

Union Pacific (UP) has done it again: for the third time in a month the rail operator has raised charges for traffic moving inland from southern California.

Yesterday, surcharges on excess contract cargo rose to $3,500 per container, and spot rates out of Los Angeles are up $1,500.

Early in August, UP slapped a $500 surcharge on containers from shippers that exceeded their contract allotments in California, followed last Monday by a $1,500 increase in spot rates on more than 250 lanes out of LA and other gateways in California.

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