US producers are concerned that reduced rail service may hurt their ability to take advantage of a rise in export coal prices. International coking and steam coal buyers are suddenly more interested in production from the US, which is usually only a swing supplier, as global prices have risen because of tighter supplies in other countries. But rail service in the US could be a barrier to taking advantage of that new interest. Railroads, particularly eastern carriers, have made significant cuts to their coal network over the last year in response to lower demand. They have laid off thousands of employees, parked locomotives, idled rail lines and rerouted train movements.
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