A&R Logistics announced on August 12 that it has entered into a collaboration with Union Pacific (“UP”) to co-develop an export supply chain solution for the U.S. plastic resin industry.  The project will be aimed at establishing a transportation and plastics packaging facility near UP’s Dallas Intermodal Terminal to handle the anticipated significant increase in export plastic resins.

“Approximately $50 billion is expected to be invested in the U.S. over the next 10 years by the plastics industry to expand production,” said Mark R. Holden, A&R’s CEO. “Thanks to growth in domestic shale gas production, the U.S. plastics industry is benefitting from feedstocks derived largely from natural gas.  As a result, the export of plastic resins is expected to surge over the next decade.  Net exports are expected to more than triple, growing from $6.5 billion in 2014 to $21.5 billion by 2030.”

A&R Logistics, Inc. is a provider of dry-bulk transportation, packaging, distribution, and logistics solutions to numerous companies in the chemical and plastic industries. The company is headquartered in Louisville, Kentucky.

Holden further commented “A&R looks to develop a state-of-the art packaging facility and transportation related product to provide what we believe will be the most flexible and efficient supply chain for the export of plastic resins in the U.S.”