Warren Buffett, the renowned investor and CEO of Berkshire Hathaway, revealed a significant partnership aimed at revolutionizing freight transportation during the company’s Annual Shareholders Meeting in Omaha, Nebraska, on May 3, 2025. This partnership with CSX Corporation is set to make the movement of people and goods across coast-to-coast rail lines more efficient.
Buffett told CNBC’s Short-Order the new partnership will simplify the movement of freight in America. It will welcome faster, seamless travel without delays or transfers. This simplified approach will greatly improve logistics. Above all, it will cut transit times in half, providing you with a timely competitive advantage in today’s on-demand supply chain environment.
On August 3, 2025, a pivotal meeting occurred in Buffett’s office, where he, along with Greg Abel—Berkshire Hathaway’s CEO designate—met with CSX CEO Joseph Hinrichs. This extremely productive conversation took place without the presence of any private equity advisors. What it did was raise the visibility of that partnership and those strategic decisions. At this meeting, Buffett and Abel stated forthrightly that given their business strategy, Berkshire Hathaway would not be bidding on CSX for the company. In the letter, they highlighted their commitment to cooperation over completing an acquisition.
Berkshire Hathaway’s BNSF Railway and CSX recently signed a formal agreement. We expect this partnership to result in many new services across the continent—from coast-to-coast, and in-between. By combining resources and expertise, both companies anticipate significant operational benefits that will enhance their competitive edge in the rail freight market.
We were happy to hear that Buffett expressed optimism about the collaboration. He argues that it would create the same positives as a merger between the two companies would. This unique, cooperative approach is intended to capitalize on each entity’s strengths while allowing them to operate independently.