Signals of Change: U.S. Railroads Fast-Track Automation Push

Carriers test hybrid inspection systems as technology reshapes rail operations

30 Aug 2025

America’s freight railroads are accelerating investment in automation as they seek improvements in safety, efficiency and cost control across a sector long defined by manual inspection.

The Association of American Railroads has petitioned the Federal Railroad Administration for approval to expand the use of automated track geometry measurement systems, which use lasers and sensors to detect irregularities in rail alignment and curvature. The shift would allow companies to combine real-time digital monitoring with reduced manual inspection cycles.

Suppliers such as ENSCO Rail are leading the rollout of these systems, which collect continuous data from locomotives and freight cars in motion. Rail operators argue that the technology can detect subtle faults earlier and reduce service disruptions.

Large carriers including Union Pacific and Norfolk Southern have begun integrating automation into their inspection programmes. Norfolk Southern said it “performs automated track inspection primarily through equipment mounted on locomotives,” while retaining traditional geometry cars and hi-rail vehicles for complementary checks.

Industry analysts view the move as part of a wider digital transformation in North American rail. Investments in sensors, analytics and predictive maintenance are expanding alongside fleet renewal and infrastructure upgrades. The combination of automation and data-driven maintenance is seen as a potential driver of margin improvement and capacity efficiency.

Adoption of automation remains gradual, as regulators have cautioned that expert visual assessments will continue to be necessary for complex or environmental defects. Most observers expect hybrid systems to define the next phase of rail inspection, balancing technology with human oversight.

If the waiver is granted, it could accelerate capital spending on automated inspection platforms and related analytics tools, marking one of the most significant shifts in U.S. rail maintenance practices in decades.