U.S. Rail Shipments Drop 3.6 Percent In June

Washington, DC (AHN) - The Association of American Railroads said U.S. rail shipments fell 3.6 percent in June compared to a year earlier as floods in the Midwest hurt traffic.

Freight carried in June totaled 1.3 million carloads, according to the association.

"Rail volumes were already under pressure because of the continuing weakness in the economy, but the massive recent flooding in the Midwest made things much worse," said AAR Senior Vice President John T. Gray in a statement, according to the Associated Press.

Of the 19 commodity groups tracked, 14 of them saw a reduction in shipments. The largest decline was in shipments of coke, used to make steel, which fell 28.8 percent.

Railroad shipments of vehicles and equipment were also down, dropping 19 percent compared to a year ago.

However, railroad shipments on a whole are up 0.2 percent in the first six months of the year, compared to the first half of 2007.