Intermodal Market Outlook for 2025: What Shippers Need to Know

The intermodal sector in 2024 demonstrated remarkable resilience, achieving a 7.5% growth rate despite early-year challenges and unexpected disruptions. This solid performance, however, was driven by unique factors unlikely to persist into 2025, leaving shippers facing a more complex and nuanced freight market. For companies like PNG Worldwide, the upcoming year represents an opportunity to provide shippers with strategic insights and solutions to optimize their supply chains.
The North American intermodal sector saw a late-year surge driven by strong retail demand, a shift back to West Coast imports due to labor concerns on the East Coast, and disruptions in global shipping lanes, such as Houthi rebel activity affecting the Red Sea route. Additionally, concerns over labor strikes and tariffs led to an unusually late peak season in week #50. However, as we move into 2025, these factors are unlikely to recur. Labor agreements are now settled, and geopolitical tensions around key shipping routes are expected to ease. This normalization could reduce the momentum seen in 2024, especially in the international segment.
The North American intermodal market is expected to face differing dynamics in 2025. International intermodal growth may slow due to the normalization of trade routes, the impact of 2024’s pull-forward volume, and uncertainty surrounding proposed tariffs from the incoming administration. In contrast, domestic intermodal could see modest improvements, driven by stabilizing truckload markets, share gains, and competitive pricing. However, the early bids for 2025 contracts indicate a challenging pricing environment, with flat or declining rates in several regions. Flexibility from carriers like Union Pacific (UP) and BNSF could provide opportunities for shippers to secure favorable terms. The e-commerce sector, led by Amazon’s aggressive pricing strategies, continues to disrupt the market and exert downward pressure on rates.
As shippers face a more volatile and competitive market, making informed decisions about transportation modes will be critical. PNG Worldwide specializes in providing tailored logistics solutions, leveraging its expertise in both intermodal and over-the-road (OTR) transportation to optimize cost, efficiency, and reliability for shipments.
PNG Worldwide offers shippers the ability to evaluate the cost and time advantages of intermodal rail versus truckload services, considering factors such as route, volume, and transit time. The company also supports the development of hybrid solutions that combine rail and truck services to strike the best balance of speed and cost. With disruptions in global trade routes normalizing, PNG Worldwide provides insights into port selection and inland distribution strategies to minimize delays and costs. By leveraging strong relationships with railroads and carriers, PNG Worldwide helps shippers negotiate competitive rates and secure capacity while maintaining margins. Given the likelihood of unforeseen “black swan” events, PNG Worldwide equips shippers with contingency plans to adapt quickly to market shifts, ensuring business continuity. For environmentally conscious shippers, intermodal offers a lower-carbon alternative to long-haul trucking, and PNG Worldwide can assist in calculating and reporting emissions savings to align with sustainability goals.
The intermodal sector in 2025 will likely face pricing pressures, economic and policy shifts, and potential capacity challenges. Early contract bids suggest minimal rate increases, making it essential for shippers to lock in favorable terms early. Tariff changes and inflationary pressures could further impact freight costs and demand patterns. While abundant capacity exists today, any sudden tightening in the truckload market could quickly shift dynamics in favor of carriers.
2025 promises to be a year of recalibration for the intermodal sector. While international intermodal may face headwinds, domestic intermodal has the potential for modest growth, provided carriers and shippers collaborate effectively. For shippers navigating these challenges, PNG Worldwide offers the expertise and resources needed to make data-driven decisions about transportation modes and routes. By combining advanced analytics, strong carrier partnerships, and a customer-first approach, PNG Worldwide ensures that shipments move efficiently and cost-effectively, regardless of market conditions.
Contact PNG Worldwide today to explore the best shipping strategies for your business in 2025.
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