Shipping by Rail vs Truck: Which is Best for My Business?

When deciding to ship freight via rail or truck, there are a number of important details to consider. Each mode of transportation has its advantages. Making an informed decision on which is best for your shipment requires a close look at the processes involved in each mode of shipping. 

Key Takeaways:

• Shipping by rail is often more cost-effective for long distances, while trucks are preferred for shorter distances due to their flexibility.
• Using a combination of rail and truck transport (intermodal shipping) can optimize cost savings and efficiency, especially when working with a third-party logistics (3PL) partner.
• Rail shipping is ideal for bulk commodities like minerals, fuel, and vehicles. Conversely, semi trucks are often used for consumer goods and perishable items that need controlled environments.

Our comprehensive guide provides you with a complete breakdown of the important differences between shipping by rail vs truck.

Shipping by Rail vs Truck: Advantages and Disadvantages

Truck and rail shopping are both solid choices in ground transportation, but each has some advantages over the other.  For this reason, in many cases, you’ll probably end up using a combination of the two unless you only make and receive short-range shipments. 

To understand the benefits each form of transport offers, I’ll break down some of the key advantages to truck and rail transport in the following sections.

What are the Advantages of Truckload Shipping?

Most of the benefits trucks offer to shippers have to do with their versatility compared to rail. They include:

• Easy access to highways, streets, and other roads rather than specialized tracks
• Adaptable to a wide variety of cargo
• Ideal for expedited shipping and on-demand shipping compared to rail schedules
• Faster short-distance/final mile deliveries than rail
• Greater flexibility in re-routing shipments should the need arise.

Whether it’s a semi-truck or a straight truck with a fixed cargo area, your shipments will almost certainly have to go by truck at some point in the logistics process. 

What are the Advantages of Rail Shipping?

Given rail’s advantages for shipping goods over thousands of miles, you’ll probably find it beneficial to use rail transportation for at least part of your shipment’s journey. 

Other benefits of rail shipping are:

• Most affordable option for long-distance land transport of large, heavy shipments
• Lower price per mile when taking maintenance and fuel costs into consideration
• Higher security compared to trucks and trailers
• Fewer opportunities for delays in shipment due to absence of traffic and road hazards
• The best choice for moving hazardous materials (hazmat)

The most efficient way to reduce shipping costs when thinking about shipping by rail vs truck is to consider a multi-modal strategy. With access to the right transloading facilities and effective container drayage, you should be able to keep your shipments moving on schedule without overpaying for freight services. 

What are the Disadvantages of Rail Shipping?

Arguably, the biggest disadvantage you’ll find in rail shipping is that it requires tracks, stations, and depots to function. This limits the effectiveness of rail shipments in the following ways.

• Usually not viable for last-mile deliveries
• Long transit times
• Not ideal for expedited or short-distance shipments.

It’s unlikely that the start and end of your journey have train stations, and this means that trucks will be necessary to move your goods to the train at the start, and then to their final destination. 

What are the Disadvantages of Truckload Shipping?

Some examples of the disadvantages which come with shipping cargo via truck include: 

• Trucks lack the overall capacity of railcars.
• They add to traffic congestion and can be slowed down or outright stopped by vehicle collisions, creating delays and frustrating you and your customers.
• Thieves frequently target warehouses and parking lots, making truck shipments more susceptible to theft than those sent by rail.
• A lot of the USA’s roads are in dire need of repair and capable of causing damage to certain truck components such as wheels, tires, and suspension. 

While truckload shipping certainly has some disadvantages, the vast majority of shipping jobs will need to be moved by truck for at least part of their journey. For shippers, this means working with a carrier who understands the best applications for each type of freight shipping.

When to Ship Goods via Rail

Having reviewed the advantages and disadvantages of rail shipping, let’s look at some example scenarios of when this mode of freight transport makes the most sense to use.

• Moving large amounts of raw materials over long distances, especially flammable gasses
• Transporting freight that isn’t on an immediate timetable
• Bulk shipping on a limited budget

Speaking strictly from an affordability perspective, the longer you can keep your shipment on a train and off a truck, the better. However, this isn’t the only consideration shippers need to take into account. The limitations of trains mean that eventually, your shipment will need to spend time on a truck. 

Related: Rail Freight Transport: The Right Track To Cost Savings

When Should You Ship Goods Via Truck?

Truck and trailer combinations are popular for transporting large amounts of goods. This makes sense, as no other form of road transportation offers the same level of flexibility and risk management. 

Some other examples of situations which call for shipping freight via truck are: 

• Moving goods over short distances when a job has a very strict deadline or time window for delivery 
• Transporting food, medicines, and other time or temperature-sensitive products
• When using shipping strategies such as milk runs or hub-and-spoke distribution
• Shipping to remote areas with little to no rail service

Of course, there are many other scenarios which will require the same sort of attention. When comparing shipping by rail vs truck, always consider factors like time in transit, customer satisfaction, and the value of your goods. 

Related: Types of Dry Van Trailers: A Truckload Shipping Guide

Rail and Truckload Services From USA Truckload Shipping 

At USA Truckload Shipping, we’ve been working in the freight business for a very long time, and have a wealth of experience when it comes to providing the right freight shipping services options. Since we’re a 3PL, we manage all aspects of the shipping and logistics process. From warehousing to customs brokerage and everything in between, we serve as a one-stop-shop for national and international shipping needs. 

Our freight shipping services include:

• White glove delivery
• Freight and logistics consultations
• Hazmat transportation
• And more

We understand that it can be hard to decide on final shipping options. Our dedicated team is ready and willing to answer any questions you have and get your freight moving. When you’re ready, give us a call at (866) 353-7178 or click “request for proposal” to receive a quote online.