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Canada Southern Railway: NYC's Ontario Route

Published: January 30, 2025

By: Adam Burns

The Canada Southern Railway (CASO) stands as a historical testament to the ambitious infrastructure dreams of the 19th century.  It became a vital component of the New York Central, acting as a more direct route between Detroit and Buffalo via southern Ontario.

It was originally founded as the Erie & Niagara Extension Railway on February 28, 1868.  On December 24, 1869, its name was officially changed to Canada Southern Railway (CASO).

The initial act of 1868 mandated that the railroad be constructed with a broad gauge of 5 feet 6 inches. However, the act was revised in 1869 to allow construction at the standard gauge of 4 feet 8 ½ inches.

Subsequent management came from Penn Central, established in 1968, and later Conrail, formed in 1976, before the railway was sold to Canadian National Railway/Canadian Pacific Railway in 1985.

System Map (1881)

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Early Years

The story of the Canada Southern Railway began in the mid-1800s, a period marked by a fervent railway boom across North America.

The origins of the CS can be traced back to a charter granted in 1868 by the Province of Canada to the Erie & Niagara Extension Railway Company. The project was soon rebranded as the Canada Southern Railway, with plans to build a new, efficient railway line spanning southern Ontario's fertile lands.

Construction began earnestly in 1869, with the primary aim of connecting Amherstburg on the Detroit River westward through southern Ontario to Fort Erie, near the bustling city of Buffalo, New York.

The strategic intent was clear: the Canada Southern sought to become a critical link for freight and passengers, providing a shorter and more direct route between Chicago and New York City, thereby capturing a segment of the lucrative Great Lakes transport market.

Economic Impact

The Canada Southern's initial rise was swift, fueled by the burgeoning demand for efficient transportation solutions across North America. Its tracks were meticulously laid out to maximize connectivity, intersecting with other major rail lines and seaports, thus maximizing its utility in the regional and continental transport network.

From its completion in the early 1870s, the railway facilitated the rapid movement of goods such as timber, coal, and agricultural products. Southern Ontario's rich agricultural regions, previously limited by inadequate transport options, could now access wider markets, resulting in an economic boom that attracted both settlers and businesses.

Acquisition and Expansion

As Cornelius Vanderbilt pursued the expansion of his railroad empire to create a comprehensive eastern trunk line, he turned his attention to the Michigan Central Railroad. However, as noted by Mike Schafer and Brian Solomon in their book, "New York Central Railroad", acquiring this asset proved to be more challenging than initially anticipated.

In order to secure a direct route to the Michigan Central through southern Ontario, Vanderbilt initially attempted to acquire the Great Western Railway. This effort was ultimately unsuccessful, as the Great Western was eventually absorbed by Canadian National Railway. Undeterred, Vanderbilt shifted his focus to the neighboring Canadian Southern Railway.

The completion of Vanderbilt's final significant acquisition occurred on January 1, 1876, when he successfully gained control of the CASO through stock ownership, just prior to his passing.  In addition, acquisition of the nearby Michigan Central was completed two years later.

Innovations and Modernization

Throughout its operational life, the Canada Southern Railway remained at the forefront of railway innovation. By the turn of the 20th century, several key advancements were implemented to improve efficiency and service quality.

Double tracking some segments of the line facilitated increased traffic, improving the movement of freight and passengers alike. Enhanced signaling systems and the introduction of more powerful locomotives further propelled the railway into the modern era of transportation.

Timetables (1881)

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Legacy

As the 20th century progressed, the Canada Southern continued to play a vital role in regional transportation. However, like many railroads, it eventually faced competition from emerging modes of transport, such as automobiles and airplanes, which gradually eroded its traditional business base of passenger and freight transport.

Following the New York Central and Pennsylvania's 1968 merger to form Penn Central, the CASO the route's importance dwindled as the new conglomerate now owned three lines to Detroit and Chicago.

CASO was never fully controlled by the New York Central or subsidiary Michigan Central, as these entities collectively controlled merely 107,000 of the 150,000 shares outstanding, with the remainder being publicly traded.

Shareholders consistently received dividends annually starting in 1887, and a substantial extraordinary dividend disbursed in 1976 led to a legal dispute that persisted until 1983.

On April 30, 1985, the Canadian National and Canadian Pacific jointly acquired the former CASO from then Conrail following Penn Central's 1970 bankruptcy.

This acquisition was primarily motivated by the desire to secure the Detroit River Tunnels under the Detroit River and the Michigan Central Bridge at Niagara Falls.

Over the years, significant portions of the CASO have been downgraded, abandoned, or dismantled by CN and CP. Specifically, operations through Niagara Falls, including those over the MCRR bridge, were ceased, with the corresponding segment through the city being removed in 2001.

However, in contrast to the rest of the line, the tunnel under the Detroit River remains a vital conduit for freight traffic across the Canada-U.S. border and continues to accommodate a substantial volume of mainline traffic.


Conclusion

Today, while the name may no longer adorn rolling stock, the spirit and foresight of the Canada Southern remain integral to the economic narrative of southern Ontario and its role in the broader North American transportation network.

Its history is a testament to the ambition and resilience of early railway pioneers who reshaped landscapes, economies, and societies.

The CASO’s enduring influence is evident in the economic vitality it sowed and the technological standards it helped promulgate, cementing its place as a significant chapter in the annals of railway history.

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