Road

Mining Giants Turn to Trucks and Alternative Routes Amid the Canadian Rail Shutdownt

Amid a major disruption in Canada’s rail system, mining powerhouses Rio Tinto Group and Teck Resources Ltd. are rerouting shipments and turning to trucking solutions to maintain operations. The railway stoppage, which began on August 22, has forced these companies to adopt alternative transportation methods to avoid significant operational delays. Rio Tinto announced that it will increase the use of its private railway between Quebec and Newfoundland and Labrador, along with relying more heavily on trucking to ensure the continued flow of raw materials. The company is a major producer of aluminum, iron ore, diamonds, and titanium in Canada. Similarly, Teck Resources Ltd., which operates a copper mine and refinery in British Columbia, is implementing "alternate transportation arrangements" to mitigate the impact of the rail stoppage, according to spokesperson Maclean Kay. Canada’s mining industry, a critical pillar of the nation’s resource-driven economy, depends heavily on the country’s two dominant railways—Canadian National Railway Co. and Canadian Pacific Kansas City Ltd.—to transport essential materials like copper, aluminum, iron ore, and coal. The shutdown of these railways, which carry approximately $740 million in trade daily, poses a significant threat to the sector. The Mining Association of Canada, in an August 22 statement, described the stoppage as “catastrophic” for the nation, emphasizing the dire consequences for both operational costs and Canada’s reputation as a reliable investment destination for supply chain-dependent industries like mining.

May 30, 2025 | Road
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