CPKC Warns of Rail Merger Risks After Rivals’ $72 Billion Deal

North American railroad Canadian Pacific Kansas City Ltd. said it’s not interested in a merger and warned of potential service disruptions as deal activity picks up across the rail industry.

The company — itself a product of a mega-merger just two years ago — said the existing network of six major domestic railroads has shown it’s capable of delivering “near-seamless transportation services” across the continent. Future improvements could come through alliances rather than acquisitions, CPKC said in the unorthodox statement Tuesday.

“Any major rail merger poses unique and unprecedented risks to customers, rail employees and the broader supply chain,” the ...