BNSF California Embargo
- On June 24, 2022
BNSF has announced its plan to embargo shipments of most non-intermodal commodities to all BNSF destinations in the state of California from origins or BNSF interchanges in fourteen states in the central, south central and southwestern U.S. There are limited commodity exceptions. The embargo announcement can be found at https://www.bnsf.com/news-media/customer-notifications/notification.page?notId=limited-embargo-of-certain-shipments-destined-for-california. In addition, attached is a paragraph from BNSF’s June 23, 2022 filing as a supplement to its prior service recovery plan that BNSF filed with the STB. It explains in some more detail the California embargo.
Affected shippers and carriers may have few options. This is an evolving situation, and will have significant impacts on carriers and shippers inside and outside of California. Given the number of affected parties and the overall scope of problems created, STB and/or Congressional responses are a distinct possibility.
Fletcher & Sippel has a team of professionals who are poised to assist clients with the challenges this development presents. Please contact any of the following team members if you need assistance on the issues you may confront: