Demand for coal gondolas has risen substantially in 2011 due to a hot summer, utility restocking and a jump in coal exports. The U.S. Energy Information Agency reported that domestic coal production increased 2% or 25 million tons in 2010 and that the growth trend is expected to continue. According to the EIA, western coal production is expected to experience faster growth than the total U.S. coal market. Production growth in the West is predicted to average 2% or 10 million tons annually over the next 25 years; increasing its market share from 54% today to 65% by 2035. (EIA)

US railroad coal CLs grew by 1% or 78,000 in 2010, and are expected to increase another 1% 70,000 CLs in 2011. Economic Planning Associates forecasts that coal carloads will continue to grow over the next five years and by 2016 will return to the peak levels of 2008.