The metals business at CSX is composed of seven key market segments and historically generates about 6% of the business handled by CSX. We transport a diverse range of steel and non-ferrous products. There are two primary markets - ferrous scrap and sheet steel - which account for 55% of the steel business CSX transports annually. Other lines of business include semi-finished products, steel plate, pipe, non-ferrous and long products like rebar and beams.
In fact, 87% of U.S. steel is produced within the footprint of CSX’s network. Our traffic is heaviest in the Indiana-Ohio region and along the East Coast, but the market is also expanding globally. Our service and competitive pricing help steel customers expand their market reach. Our Ports & International team, for example, have been a key part of both import and export solutions and growth opportunities for CSX customers. The CSX metals market also benefits customers who are not directly served by rail with MetalNet®, a specialized logistics service that connects our customers with a system of metal warehouses and transloading facilities.
CSX’s metals franchise is strategically positioned for growth in the coming years as domestic steel production makes steady improvements, with automotive, energy and construction end-markets driving growth. With our valuable customer network, strength in U.S. steel production and position in the steel market, CSX expects to deliver sustainable growth, not only as the economic environment continues to improve, but also in the form of share gains from modal conversions and new product development.