Q&A: Chris Jahn, President & Chief Executive Officer, American Chemistry Council

Summary

Logistics Management’s Jeff Berman interviews Chris Jahn, CEO of the American Chemistry Council (ACC), about the proposed Union Pacific–Norfolk Southern merger, rail service and pricing, and regulatory developments. The ACC opposes the deal unless it demonstrably increases competition and service, warning that past mega-mergers have hurt shippers and driven up costs for captive facilities.

Jahn stresses the chemical industry’s central role in U.S. manufacturing and flags the broader economic risks of reduced rail competition — including higher rates, added fees and degraded resilience during disruptions. The ACC plans a seven-figure advocacy campaign to influence regulators and lawmakers and calls for STB appointees who will enforce competitive, reliable rail service. Jahn also criticised the limited impact of recent reciprocal switching efforts after a court vacated the rule.

Key Points

The ACC urges the Surface Transportation Board (STB) to reject the Union Pacific–Norfolk Southern merger unless it clearly enhances competition and service.
Historical consolidations (from 23 Class I railroads to six) have often coincided with degraded service and higher costs for shippers, especially captive facilities.
Over the past 15 years, rates for captive ACC members rose ~240% versus ~24% for competitive routes, illustrating the impact of limited choice.
Service metrics may look stable because traffic volumes are down, not because carrier performance improved; the network remains fragile under shocks like weather or demand surges.
Rail fees (fuel surcharges, demurrage, empty freight diversion) add materially to shipper costs; rail workforce cuts (~45,000 jobs) are linked to service declines.
The ACC has launched a seven-figure advocacy and education campaign targeting lawmakers, the White House and regulators to highlight the merger’s risks.
Jahn views the vacated reciprocal switching rule as a missed opportunity to increase competition and suggests looking to Canada for a working model.

Why should I read this?

Look — if you ship chemicals, make stuff in the US, or fret about freight costs, this interview matters. Jahn lays out why one giant rail merger could jack up prices, worsen service and ripple across manufacturing. It’s a quick, clear briefing on what’s at stake and what the ACC is doing about it.

Context and Relevance

The chemical sector sits at the front end of manufacturing supply chains and supports a large share of US GDP; disruptions to rail competition and service would therefore amplify costs across industries. The proposed UP–NS merger would create a transcontinental carrier controlling an outsized portion of traffic, increasing the number of captive shipper locations. That raises concerns about market power, resilience to demand spikes or weather events, and the long-term competitiveness of US manufacturing versus global peers. The ACC’s advocacy, and the STB’s appointments and rules (including reciprocal switching), are pivotal to outcomes that affect logistics, pricing and regulatory precedent.

Author note

Punchy: This is not just another trade squabble — it’s about the cost and reliability of moving raw materials that everything else depends on. Jahn’s perspective is a must-see for supply-chain and procurement leaders who need to anticipate rates and service risks.