The Gateway Industrial Park rail line has been authorized by the Surface Transportation Board, allowing Laredo Gateway Industrial Railway LLC to build and operate a 2.6-mile route in Webb County, Texas, under a decision issued on June 16.

Trucks at the World Trade Crossing International Bridge in Laredo
Illustrative photo of trucks at the World Trade Crossing International Bridge in Laredo, Texas. Photo: U.S. Customs and Border Protection / Donna Burton / Public domain

Gateway Industrial Park rail line approved in Texas

The line is planned to connect Gateway Industrial Park with Union Pacific Railroad’s Laredo subdivision mainline⁠. The industrial park is being developed by LGIR’s parent company, Kraus Development, north of Laredo near the junction of Interstate Highway 35 and State Highway 255.

LGIR said the route will serve shippers using the Laredo Port of Entry for cross-border cargo. The company has an agreement with Ironhorse Resources Inc. to operate the line⁠, while Ironhorse Resources will separately seek STB approval for that operation.

Context

The regulatory decision is tied to a freight-logistics setting rather than passenger service. Texas Comptroller data show that Port Laredo accounted for about $339.7 billion in Texas land-port trade in 2024 and represented 62% of Texas land-port trade. Kraus Development describes Gateway as a 3,300+ acre industrial site with on-site short-line rail access to the Union Pacific mainline. This context supports the article’s focus on shipper access, competition and the movement of cross-border cargo by rail.

Rail service option for Laredo shippers

The STB said LGIR would increase competition by creating another rail service option for shippers at the industrial park. The board also said the line would help divert freight traffic to rail, improving energy efficiency and reducing emissions.