CCI Supply Chains + Possible Rail Strike = ?

September 14, 2022

As many have seen on the news, there is a possibility of a national rail strike. If the negotiating parties are not able to reach an agreement or the government does not intervene, the strike would take effect beginning at 12:00am Friday, September 16. If a strike occurs, this would be the first national rail strike in 30 years.

Market Update

A railroad strike of this scale would have profound & far-reaching effects on an already strained supply chain. Looking out for the interest of our customers, we at CORECHEM have evaluated our supply chains and would like to assure our customers that we actively working to mitigate the effects that a potential rail strike may have and that the risk to your chemical supply should be minimal.

We do not directly procure the majority of our key commodities (i.e. IPA, Bleach, Acetone, GlycoChill+, Evaporated Salt) via rail. For products that do run on rail, we will do everything in our power to minimize the risk to our customer’s supply, and we have contingency plans in place now.

In regards to truck freight:

  • In the event of a rail strike, producers would likely be highly motivated to move their product via truck. It is probable that the trucking demand would exceed capacity, at least in the short term.
  • CORECHEM has the fleet capacity to move inbound raw materials on our own trucks, and can prioritize our own inbound freight.

With questions about the possible rail strike and how it could affect your supply of chemicals, reach out to a representative. We look forward to speaking with you!