Overview of the Intermodal Railyards
Council Bluffs Terminal Complex features Union Pacific’s Bailey Yard East, BNSF’s Council Bluffs Yard, and Iowa Interstate Railroad’s Council Bluffs Intermodal Terminal. These facilities handle grain, ethanol, steel, consumer goods, and new automobiles, connecting five Class I railroads and regional operators.
Intermodal operations include Iowa Interstate Railroad’s double-stack ramp and Union Pacific’s intermodal transfer facility, enabling efficient movement of containers, bulk commodities, and automotive shipments between rail and truck modes for Midwest distribution.
Market Size and Economic Impact
Council Bluffs processes over 150,000 railcar loads annually, supporting a 200-mile industrial radius. Rail activity generates more than $1.2 billion in economic impact each year and sustains over 3,500 direct and indirect jobs, ranking among the top five U.S. rail hubs.
Competitive Landscape
- Union Pacific: Bailey Yard East manages transcontinental freight, automotive, and bulk commodities with advanced classification systems
- BNSF Railway: Council Bluffs Yard specializes in grain, ethanol, and consumer goods, linking western and eastern U.S. corridors
- Iowa Interstate Railroad: Intermodal terminal connects regional shippers to all six Class I railroads, expanding market reach and capacity
Opportunities
- Midwest Ag Expansion: Growing grain and ethanol production drives demand for outbound rail shipments and intermodal services
- Automotive Logistics: Increased vehicle manufacturing and distribution boost finished vehicle rail volumes and terminal throughput
- Regional Distribution: New warehousing and logistics centers leverage Council Bluffs’ rail connectivity for supply chain optimization
Challenges
- Congestion Management: High train volumes and grade crossings challenge urban mobility and operational efficiency
- Infrastructure Aging: Legacy track and yard assets require ongoing modernization to support increased traffic and safety
- Weather Impacts: Seasonal flooding and winter storms can disrupt rail schedules and terminal operations
Trade and Logistics Trends
- Grain Shipments: Steady growth in corn, soybeans, and ethanol exports to Gulf and Pacific ports
- Intermodal Traffic: Rising container volumes from Midwest manufacturers and distributors
- Automotive Rail: Increased finished vehicle movements to regional and national markets
Future Outlook
- Capacity Upgrades: Planned yard expansions and track improvements to accommodate higher train counts and longer consists
- Technology Integration: Implementation of automated switching, real-time tracking, and digital yard management systems
- Sustainability Initiatives: Investments in cleaner locomotives and energy-efficient terminal operations to reduce environmental impact
Recommendations
- Yard Modernization: Upgrade classification yards and intermodal ramps to handle future traffic growth and larger trains
- Multimodal Connectivity: Enhance truck-rail transfer facilities and regional highway access for seamless freight movement
- Workforce Development: Expand training programs for rail operations, logistics, and technology to support regional employment
Council Bluffs, IA
Council Bluffs anchors the Midwest’s rail network, linking Chicago, Omaha, and Kansas City with transcontinental routes. Its rail corridors serve metropolitan areas exceeding 10 million people and connect agricultural, manufacturing, and distribution hubs across the central U.S.
Council Bluffs’ strategic location at the eastern terminus of the transcontinental railroad provides direct access to Chicago, Omaha, and major U.S. corridors. Its convergence of nine main lines and proximity to I-80 and I-29 make it a critical gateway for national freight flows.
Where you'll go
Things to know
Rail Operations
Railroad Heritage: Council Bluffs became the eastern terminus of the first transcontinental railroad in 1869, shaping its rail legacy
Facilities & Services
Missouri River Gateway: Located on the Missouri River, Council Bluffs is a key junction for east-west and north-south rail corridors
Location Benefits
Agricultural Powerhouse: The region’s grain, ethanol, and livestock industries drive high rail volumes and economic growth
Additional Information
Innovation and Connectivity: Iowa Interstate Railroad’s intermodal terminal links regional shippers to all six Class I railroads for unmatched market access