CP Canadian Pacific Rail agreed to buy Kansas City Southern for US$25 billion, creating the first USMCA, Canada to Mexico rail link.

The transaction gives CP access to the Kansas City, Missouri-based company’s sprawling Midwestern rail network that connects to ports along the Gulf of Mexico. It would also give it reach to Mexico, which made up almost half of Kansas City Southern’s revenue last year, and create the only network that cuts through all three North American countries.

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