OMAHA, NEB. — Union Pacific (UP), a major US grains shipper, is building a new intermodal terminal west of downtown Kansas City, Mo., to serve Midwest markets on the railroad’s 23-state network, including West Coast and Gulf of Mexico ports.

Already under construction, UP’s Kanas City Intermodal Terminal (KCIT) will provide domestic and international containerized shipments of grains, consumer goods, refrigerated products and pet foods. The terminal is expected to open in mid-2025.

KCIT will expand UP’s intermodal footprint by offering more capacity than the railroad’s current Kansas City operation and will be situated in a fast-growing regional market that includes states such as Nebraska, Iowa and Missouri. The new facility will accommodate substantial future expansion as the market grows.

“We are excited to offer shippers and receivers a centralized location to meet growing shipping demands in the Midwest,” said Kenny Rocker, executive vice president – marketing and sales for UP. “KCIT will offer shippers convenient and cost-effective access to our 32,000-mile network, with the ability to reach Mexico, Canada and overseas markets.”

Omaha, Neb.-based UP transports about 1.3 billion bushels of grain annually, with exports accounting for between 30% and 40% of those shipments. UP serves most of the major grain markets in the United States, connecting the Midwest and Western production areas to export terminals in the Pacific Northwest and Gulf Coast, as well as Mexico. The railroad also serves significant domestic markets, including grain processors, animal feeders and ethanol producers in the Midwest and West.

KCIT will be the fourth new intermodal ramp UP has built in the past few years, which UP said underscores its commitment to expanding intermodal access across its railroad network. The new terminal will help to convert more truck traffic to rail, reduce congestion on the nation’s highways, and lower greenhouse gas emissions.

KCIT will include UP’s PGT gating system — technology developed by UP that scans a driver’s equipment and speeds up the gating process, allowing truckers to quickly enter and exit the ramp.