Shortage of rail cars slows delivery of vehicles by auto makers in US

Tokyo

RAILROAD companies are struggling to keep up with surging US demand for trucks and sport utility vehicles, frustrating Ford Motor Co and Toyota Motor Corp and prompting Warren Buffett to boost investments at his rail unit.

The shortage of rail cars is particularly acute for double deckers big enough to fit taller trucks and SUVs stacked on top of one another. BNSF Railway Co, owned by Mr Buffett's Berkshire Hathaway, will buy almost 1,900 this year, more than its combined total purchase of both bi-level and tri-level rail cars during the last two years.

Toyota, whose production system is renowned for avoiding overproduction and inventory build-up, is paving over space at two US plants to park models including the Highlander SUV during times when there aren't enough rail cars available. Carmakers are finding …