Dwell Time, Delays, and the Summer Surge: How Rail Shippers Are Staying Ahead

It wouldn’t be summer shipping season without a few headaches. From unpredictable port congestion to rail ramps backed up by import surges, the dog days of logistics are in full swing. For many rail shippers, especially those in scrap, metals, and bulk commodities, one issue continues to surface: excessive dwell time. But what exactly is causing this spike in rail delays in 2025, and more importantly, what can shippers do about it? 

The Summer Squeeze: Why Dwell Times Are Rising 

Dwell time, the time a railcar sits at an intermediate location instead of moving toward its destination, isn’t just a nuisance. For many shippers, it directly impacts turnaround cycles, equipment availability, and customer commitments. 

This year, a perfect storm is brewing: 

• Import Overflow: Transpacific volumes surged in late May and early June, with U.S. ports receiving a backlog of vessels rerouted from Southeast Asia and India. While many headlines focus on the ports, the ripple effect extends to inland rail terminals and drayage connections. 

• Terminal Congestion: Rail ramps in the Midwest and Northeast have seen rising dwell times due to chassis imbalances and labor shortages. While most of this affects intermodal freight, carload traffic often shares the same yards or suffers collateral delays. 

• Equipment Rotation Constraints: For scrap processors and brokers in particular, the delay in getting empties returned means missed shipments, demurrage risk, and idled operations. 

The result? Many rail shippers are seeing delays that stretch well beyond the 24-48 hour thresholds they consider reasonable. 

What the Data Isn’t Telling You 

Class I railroads publish average dwell times across major terminals, and while these figures are useful, they rarely tell the full story. A delay at a critical handoff point, say, a short line connection or a congested industrial spur, might not show up in those averages but can paralyze a shipment. Likewise, dwell time doesn’t always stem from one big event. It’s often death by a thousand cuts: 

• A missed switch window 

• A car misrouted in a classification yard 

• Lack of visibility into the railcar’s location for several days 

For shippers who manage dozens (or hundreds) of cars per month, staying on top of this complexity is a full-time job. 

So What Can Shippers Do? 

The first step is recognizing that dwell is not just a railroad problem, it’s a shared logistics challenge that demands proactive tracking, advocacy, and coordination. Some strategies that successful shippers are using include: 

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  Exception Monitoring: Regular review of railcar statuses, event timestamps, and location changes can help identify when a car is off schedule long before it becomes critical. 

• Escalation Protocols: Knowing who to contact at the railroad (and how) makes a difference. When delays go unresolved, prompt and persistent escalation often yields results. 

• Pattern Recognition: Identifying locations or lanes with recurring issues can help you preemptively adjust service expectations or negotiate terms with your carriers. 

Of course, all of this requires time, access, and experience. 

A Quiet Advantage: Exception Management as a Service 

One of the more underutilized tools in the rail shipping toolbox is outsourced exception management. Firms that specialize in rail oversight are increasingly being tapped by scrap processors, brokers, and other industrial shippers to serve as their eyes and ears throughout the freight journey. These services don’t replace your transportation team, they augment it, ensuring that every stuck car is flagged, investigated, and nudged forward. 

In our work with shippers across the U.S., we’ve found that many delays aren’t permanent, they’re simply unaddressed. The car sitting for 3 days in Pittsburgh wasn’t lost; it was waiting on a switch that could have been prioritized with a phone call. The bad order status in Kansas wasn’t fatal; it just needed a timeline for release. When every car counts, these details matter. 

Thinking Ahead: What Shippers Should Expect This Summer 

While July and August may bring some relief as volumes normalize, the underlying issues aren’t going away: 

• Chassis and yard availability will remain tight in certain metros. 

• Labor shortages on local and short lines may slow down secondary movements. 

• Port-related ripple effects will continue to affect inland rail ramps, especially in the Midwest and Southeast. 

The key for shippers is not just to track problems as they arise, but to anticipate them. Historical data, vendor insights, and on-the-ground intel all feed into that process. 

Final Thought: Delay is Inevitable. Inaction Isn’t. 

In rail logistics, perfection isn’t realistic. But preventable dwell time is. And for many shippers, especially in the metals and materials space, that difference is what determines profitability. 

Whether it’s a misrouted gondola, a stalled empty, or a delayed carrier response, timely intervention can make all the difference. The key is having someone who’s watching closely enough to act.

This summer, the shippers staying ahead aren’t relying on luck, they’re relying on insight, preparation, and strong partnerships. If you’re seeing the impact of long dwell times or other freight delays, we’re here to help you get ahead of it. Reach out at (330) 222-8133 or email sales@ihlogistics.com to start the conversation.