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Railroads, car haulers scramble to meet auto delivery demands

August 21, 2023

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As automakers continue to struggle with logistics delays for newly produced vehicles, railroads say they are working to fix the issues, while car haulers see a business opportunity.

Automakers say industry-wide rail car shortages are limiting their ability to send new vehicles to dealerships. GM and Ford executives called out the problem, which has plagued railroads since the pandemic, on recent earnings calls. It is hampering business as production is recovering because of improvements in the flow of vital components elsewhere in the supply chain, they said.

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