o. p. A jould between May. '48 &. Jan. 've Industry Report DOMESTIC TRANSPORTATION FEBRUARY- MARCH 1946 Prepared by TRANSPORTATION DIVISION James C. Nelson, Chief DEPARTMENT OF COMMERCE BUREAU OF FOREIGN AND DOMESTIC COMMERCE CONTENTS Table 2.--Revenue Passenger-Miles of Class I Railroads, 1929-1945 ..... 10 Table 3.-Selected Statistics of Coach Traffic and Revenue (Other than Table 4.--Comparison of Annual Rates of Change in Coach Traffic and Revenue (Other than Commutation) of Class I Railroads, in Motor Fuel Consumption and in Available Income per Capita, Table 5.-Selected Statistics of Coach Traffic and Revenue and Pas- senger-Train Miles, Class I Railroads, 1936-1945 Table 6.-Statistics of Revenue and Expenses Assigned and Apportioned to Passenger and Allied Services, Class I Railroads, Table 7.--Revenue per Passenger-Mile, Passenger-Miles per Car-Mile, and Revenue per Car-Mile, Coach Traffic of Class I Rail- Table 8.-Developments in Reserved Railroad Passenger-Car Accom- Table 9.-Total Intercity Buses, Bus-Miles Operated and Revenue Pas- I. IMPORTANT RECENT DEVELOPMENTS The railroads on April 15, 1946, petitioned the Interstate Commerce Commission for authority to continue in effect, without expiration date, the 1942 increases of 10 percent in basic passenger fares and charges authorized in Ex Parte 148 and to increase their freight rates and charges by 25 percent, with certain exceptions. It is maintained that the wage increase awarded in April 1946 will add approximately $619 million to labor costs in 1946; that materials and supplies will cost $167 million more than the same quantities at 1945 prices; and that the decline in traffic will result in 23.5 percent less revenue than the railroads received in 1945. On May 6, the Commission inaugurated hearings with respect to whether the increases should be authorized to become effective May 15, 1946, upon one day's notice to the public, as requested by the railroads or whether the Ex Parte No. 148 freight rate increase averaging 4.7 percent, which has been suspended since May 15, 1943, should be restored pending further consideration. Intercoastal water lines raised objections to the rail petition on the grounds that the exceptions from the 25 percent rate increase fall heavily on traffic carried by both rail and water lines. It will be recalled that on March 21 the U. S. Maritime Commission and War Shipping Administration filed a petition with ICC for an investigation of existing rail rates and practices which are competitive with domestic water carriers. The claim was made that rail rates which are competitive with water rates are unduly low and often noncompensatory. On May 1, nine coastwise water carriers in the Atlantic and Atlantic-to-Gulf services, and the Mississippi Valley Barge Line, petitioned the ICC for authority to increase by 25 percent their port-to-port rates and joint through rates in which they participate with other carriers by water, rail or motor. Estimates of the Association of American Railroads show that revenue ton-miles of Class I roads during the first quarter of 1946 declined 17.8 percent from the corresponding period of 1945, and revenue passengermiles fell 6 percent. On the basis of the present outlook, it may be estimated that Class I revenue ton-miles for the year 1946 will aggregate in the neighborhood of 600 billion, and that revenue passenger-miles will total approximately 75 billion, decreases of 11,9 and 18.3 percent, respectively, from 1945. Railroad loading of bituminous coal was heavier during the first quarter of 1946 than in any corresponding period since 1927, but with the suspension of mine operations on April 1, only a small tonnage has moved in April. It is expected that when the mines resume normal operations, production will be resumed at a high level to meet demands for export to liberated countries in addition to domestic requirements. Other developments which point to a higher than prewar level of freight |