Overview of the Intermodal Railyards

Hammond’s primary rail terminal complex includes the CSX Barr Yard, Norfolk Southern’s Gibson Yard, and the Indiana Harbor Belt Railroad’s Blue Island Yard. These facilities handle intermodal containers, bulk commodities, and automotive shipments, connecting with CSX, NS, CN, and IHB mainlines.

Intermodal operations feature the CSX Barr Yard’s dedicated intermodal ramp, NS Gibson Yard’s automotive and container transfer, and IHB’s switching services. Facilities offer seamless rail-truck transfer, on-site warehousing, and advanced yard management systems.
Market Size and Economic Impact
Hammond’s rail network moves over 150 million gross tons of freight annually, ranking among the top five U.S. rail hubs. The sector supports more than 7,000 regional jobs and generates an estimated $2.2 billion in annual economic impact, serving the greater Chicago metropolitan area.
Competitive Landscape
- CSX Transportation: Barr Yard processes unit trains, intermodal, and bulk commodities with direct Chicago access
- Norfolk Southern: Gibson Yard specializes in automotive, container, and manifest freight with national corridor links
- Indiana Harbor Belt Railroad: Blue Island Yard provides switching, interchange, and terminal services for Class I and regional railroads
Opportunities
- Midwest Distribution: Growth in e-commerce and warehousing drives demand for intermodal and bulk rail services
- Automotive Logistics: Expansion of regional assembly plants increases automotive rail shipments and specialized handling
- Infrastructure Modernization: Federal and state investments target yard upgrades, grade separation, and digital automation
Challenges
- Congestion Management: High train volumes and at-grade crossings cause frequent delays and operational bottlenecks
- Urban Encroachment: Residential and commercial development pressures limit yard expansion and buffer zones
- Safety Compliance: Increased regulatory requirements for grade crossings and hazardous materials handling impact operations
Trade and Logistics Trends
- Intermodal Expansion: Rising container volumes from Midwest distribution centers and Chicago gateway
- Bulk Freight Stability: Continued strength in steel, chemicals, and agricultural commodities
- Regional Connectivity: Enhanced links to national corridors and Canadian/Mexican trade routes
Future Outlook
- Yard Expansions: Planned upgrades to Barr and Gibson Yards will increase capacity and improve throughput
- Technology Integration: Implementation of automated switching and real-time tracking systems
- Sustainability Initiatives: Investments in cleaner locomotives and energy-efficient yard operations
Recommendations
- Capacity Enhancement: Expand yard footprints and track infrastructure to accommodate future freight growth
- Digital Systems: Deploy advanced yard management and predictive analytics for operational efficiency
- Community Engagement: Strengthen partnerships with local governments to address congestion and safety concerns
Hammond, IN
Hammond anchors Northwest Indiana’s freight network, connecting the Chicago metropolitan area (population over 9 million) with national rail corridors, supporting regional manufacturing, distribution, and cross-border trade.
Strategically located at the intersection of CSX, NS, CN, and IHB mainlines, Hammond provides direct access to Chicago, the Midwest, and transcontinental corridors, serving as a critical gateway for NAFTA/USMCA trade and national freight flows.
Where you'll go
Things to know
Rail Operations
Rail Gateway Heritage: Hammond’s rail roots date to the 1850s, serving as a key junction for Chicago-bound freight and passenger trains
Facilities & Services
Lake Michigan Proximity: Strategic location near the lake enables efficient access to Midwest and Great Lakes markets
Location Benefits
Steel and Automotive: Regional economy driven by steel mills, auto plants, and chemical processing, fueling rail demand
Additional Information
Innovation Corridor: Close ties to Chicago’s research universities and logistics clusters foster advanced freight solutions