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Union Pacific Railroad Renews Partnership With Rocky Mountain Steel Mills for U.S. Rail Production
04/15/2026 - Union Pacific announced it has renewed its partnership with the U.S.’s last dedicated steel rail supplier Rocky Mountain Steel Mills in Pueblo, Colo., USA, by reaching a new seven-year contract for production of steel rails.
“The new contract reinforces the one-of-a-kind partnership between Union Pacific Railroad and Rocky Mountain Steel, a relationship that traces its roots back to the 1890s and has been benefiting American workers every day since,” said Doug Matthews, chief executive officer of Rocky Mountain Steel Mills’ parent company, Orion Steel.
The companies said the new US$1 billion rail mill at the Pueblo facility, expected to begin operations this year, will have the capability to produce 328-ft. lengths of rail and require 80% fewer welds than standard 80-ft. rails. It will be powered by an 1,800-acre solar farm.
“As Union Pacific pursues its merger with Norfolk Southern to create the nation’s first transcontinental railroad, our ability to partner with Rocky Mountain Steel becomes even more critical as our merger is positioned to strengthen the nation’s manufacturing core as well as domestic job growth,” said Jim Vena, chief executive officer of Union Pacific.
All steel made for Union Pacific and for all Rocky Mountain Steel’s customers is made by members of the United Steelworkers (USW). The agreement ends the pending legal dispute between the companies, they said.
The companies said the new US$1 billion rail mill at the Pueblo facility, expected to begin operations this year, will have the capability to produce 328-ft. lengths of rail and require 80% fewer welds than standard 80-ft. rails. It will be powered by an 1,800-acre solar farm.
“As Union Pacific pursues its merger with Norfolk Southern to create the nation’s first transcontinental railroad, our ability to partner with Rocky Mountain Steel becomes even more critical as our merger is positioned to strengthen the nation’s manufacturing core as well as domestic job growth,” said Jim Vena, chief executive officer of Union Pacific.
All steel made for Union Pacific and for all Rocky Mountain Steel’s customers is made by members of the United Steelworkers (USW). The agreement ends the pending legal dispute between the companies, they said.
