For Norfolk Southern, $7.7 billion in new industrial development by 2025

Norfolk Southern Corp. announced that its customers advanced more than 60 industrial development projects in 2025, representing a significant $7.7 billion in industry investment in new or expanded rail-served facilities along the railroad and its short partner routes.

Company (NSE: NSC) in the paper characterized the industrial environment in 2025 as « two-speed, » with the U.S. manufacturing PMI contracting for much of the year, reflecting weaker new orders and lower manufacturing employment; However, factory output and industrial production stabilized towards the end of the year, showing « durable goods strength » as capacity utilization improved from previous months.

In 2024, the airline implemented 149 industrial development projects with a total investment of $4.3 billion, and 65 were completed with a total investment of $1.2 billion, creating 1,700 jobs.

Despite a mixed pace, with freight volumes falling 4% in 2025, Norfolk Southern’s pipeline continues to attract long-term private investment specifically targeted at growth corridors and gateways throughout the Southeast and Midwest, and the company currently has more than 500 U.S. manufacturing projects in the site-selection stage, representing additional support.

Ed Elkins, Norfolk Southern’s executive vice president and chief commercial officer, said, « Our customers’ $7.7 billion pipeline underscores the fundamental – and increasingly strategic – role that railroads play in U.S. supply chains. In 2026, we will focus on creating turnkey locations and achieving ever higher service standards so that customers can benefit from an array of multiple benefits. asset. »

The Atlanta-based railroad, which Union Pacific (NYSE: UNP), said that industrial development activity in 2025 was strong in several sectors, including projects related to the metal, paper, aggregates and automotive industries. Leading projects achieved significant results for the company, its customers and their respective communities, including support for Alabama’s emerging biotech sector and a new auto manufacturing facility for Scout Motors electric vehicles in South Carolina.

Norfolk Southern, which operates 28,400 miles of track in 22 states, improved its selection of industrial sites served by rail, with 15 of its sites receiving an independent « Readiness Evaluation for Development and Investment (REDI Sites) » designation, which it said reflects rigorous evaluations conducted by the Site Selectors Guild.