Canada's two major freight railroads, Canadian National Railway (CNR) and Canadian Pacific Kansas City (CPKC), have halted operations and locked out approximately 10,000 workers due to failed labor negotiations with the Teamsters union. This unprecedented shutdown has stopped all rail traffic within Canada and halted shipments crossing the U.S. border, raising concerns over significant economic damage and supply chain disruptions for both countries. The negotiations, which have been ongoing since early this year, are stalled primarily over worker scheduling and safety provisions, with both sides accusing each other of bad faith. Prime Minister Justin Trudeau has urged both parties to reach an agreement but has not yet intervened with binding arbitration. The impact of this shutdown could be severe, as rail transport is vital for Canada's export-dependent economy, carrying about half of all Canadian exports. Analysts warn that the situation could cost the Canadian economy billions and damage trade relations with the U.S. and beyond.