Transportation accounts for a significant portion of the US economy, with a value of $7 trillion in assets and over 4 million jobs. The five main modes of transportation are motor carriers, railroads, air carriers, water carriers, and pipelines. Each mode has strengths and weaknesses for moving different types of goods - for example, motor carriers can access anywhere but are expensive, while railroads are low-cost but goods may not reach their destination on time. Intermodal transportation utilizes multiple modes to transport freight over long distances. International trade relies heavily on efficient transportation systems to import and export a large volume of goods and services.

1. Transportation

2. Importance
• Transportation accounts for 8.7% of US GDP
• Value of US transportation assets - $7 trillion
• Employment
• 4.3 million people
• 9% of US civilians

3. 5 modes of transportation
• Motor Carriers
• Railroads
• Air Carriers
• Water Carriers
• Pipelines

4. Modes of transit
• Motor carrier
• Largest mode in terms of:
• Most of the freight weight is moved by motor carriers
• Most used mode in the US
• Strengths
• Fast delivery
• Can go anywhere
• Delivers on time
• Items are secure
• Drawbacks
• Expensive

5. Motor Carriers
• Carry most goods that we use for at least part of their journey.
• They are limited as to the size of items they can carry.
• They can literally go anywhere.
• Types of products they carry: food and consumer goods (electronics,
clothing, cleaning supplies, etc.). Think about your local store –
everything comes on a truck.

6. Types of vehicles
• Line-haul vehicles
• City straight trucks

7. Special vehicles
Dry van
Open top
Flatbed

8. Special vehicles
• Tank trailer
• Refrigerated vehicle

9. Special vehicles
• High cube
• Liquefied gas
• Automobile

10. Modes of transit
• Railroad
• Largest mode in terms of distance and weight moved
• Strengths
• High ability to move anything
• Moderate speed
• Delivers items when promised
• Low cost
• Drawbacks
• Not everyplace has a railroad

11. Railroads
• Generally ship bulk items such as coal, grain, gravel
• Moves large bulky equipment
• Can move food but it needs to be items that are not particularly
perishable as railroads take a long time to travel (speeds of around 20
to 40 mph) and a long time to unload.

12. Modes of transit
• Air cargo carriers
• Smallest mode in terms of weight moved
• Strengths
• Very fast
• Delivers on time
• Safely delivers items
• Drawbacks
• Very expensive
• Airports are not available everywhere

13. Air Carriers
• Products can be carried only on planes that carry only cargo or it can
be carried in the belly of a passenger plane.
• Most items shipped on planes are either very expensive so that the
cost of air freight will not impact the demand for the products or of a
time sensitive nature such as a perishable item like fresh fruit or
flowers that need to be delivered quickly.

14. Modes of transit
• Water Carriers
• Divided into Ocean going, Coastal, Lake, and River (Inland) Segments
• Includes cruise industry
• Panama and Suez canals play important roles
• Strengths
• Low cost
• Can haul pretty much anything large and bulky
• Drawbacks
• Goods are not protected
• Very slow
• Not everyplace has access to a waterway

15. Water Carriers
• Ocean going carriers can move consumer goods from manufacturers
in China on container ships.
• In the US ships usually move petroleum, gravel, grain, and coal.

16. Modes of transit
• Pipeline
• 3rd largest transportation mode in terms of freight movement behind Rail and Truck
• Strengths
• Very cheap
• Safe
• Delivers on time
• Drawbacks
• Generally only moves oil and natural gas
• Very slow (3 to 5 mph)
• Only located in certain parts of the country and can’t move around

17. Intermodal transportation
• Use of two or more modes of in the movement of freight from its
origin to destination
• Ocean and Rail
• COFC (container on a flat car)
• Truck and Rail
• TOFC (trailer on a flat car)

18. International importance
• Rise in global trade for US businesses
• Imports
• Global outsourcing
• Exports
• US is world’s 2nd largest exporter of merchandise
• US is world’s largest exporter of commercial services
• Value of US foreign trade - $5.0 trillion