Intermodal transportation refers to the movement of large and bulky goods by two or more modes of transport, where the cargo will stay in the same container throughout the journey. Every stage of this process is outsourced to a different provider instead of one sole carrier.

In this article, we’ll talk about the elements of intermodal transportation, its challenges, process and industrial trends. We also explain the differences between multimodal and intermodal transport so that you can make an informed decision.

What is Intermodal Transport?

Intermodal transport is the process of moving goods using two or more transport modes while keeping them within the same loading unit. This loading unit may be a container, swap body or semi-trailer that transfers between trucks, ships, trains or barges. As the goods do not require unpacking during each transfer, businesses can reduce repeated handling throughout the journey.

The process commonly begins with a truck collecting the loaded unit from the sender’s premises. It is then transferred to another mode at a port or terminal before a truck completes the final delivery. Different carriers and transport documents may cover individual stages, depending on how the shipment is arranged.

Example of Intermodal Transport

For example, a company may need to transport goods from Singapore to Germany. A truck first carries the container from the company’s warehouse to Tuas Port. The container then travels by ship to Rotterdam before being transferred onto a train to Germany. Finally, another truck delivers it to the customer.

Different transport companies may handle each stage, but the goods remain inside the same container. This reduces the need to load and unload the goods from the container repeatedly.

Multimodal vs Intermodal Transport: What Is the Difference?

Intermodal and multimodal transport both use at least two modes during the journey. However, intermodal transport focuses on how goods move, while multimodal transport focuses on the contractual arrangement.

IntermodalMultimodal
Parties involvedCombination of different companies1 carrier
Regulations
  • Different contracts and bills of lading with each company
  • Fewer inspections as containers are sealed ahead of time
  • Clients will only sign 1 contract with the agent, also known as FIATA bill of lading (FBL)
  • Transit priority for FBL through customs
  • Frequent inspections
  • CostsDepends on the different companies that do the transportationDepends on the single carrier
    TrackingDifferent tracking codes for different companies1 tracking interface that monitors each stage
    Time taken for transportationDepends on the transport modes you decide on (more affordable options may take longer)Depends on the company (they’re in charge of coordinating the shipment such that it meets the deadline)

    Deciding between intermodal or multimodal transportation ultimately boils down to factors such as 

    • the modes of transport required, 
    • places of origin and destination, 
    • time sensitivity, 
    • distance, 
    • safety and 
    • type of goods to be transported. 

    What Are Some Common Types of Intermodal Transport?

    Different combinations suit different routes, cargo volumes and delivery schedules. Ocean-and-truck transport is especially relevant to Singapore’s port-based trade, while rail and barge types are more common within larger overseas transport networks.

    Ocean and truck

    Ocean-and-truck transport uses trucks at both ends of an international sea journey. A truck first collects the container and delivers it to the port, where it is loaded onto a vessel. After the vessel arrives at the destination port, another truck transports the container to the recipient’s premises.

    This combination is commonly used for Singapore’s imports and exports, as ocean freight covers the international journey while trucking provides convenient collection and final delivery.

    Ocean and rail

    Ocean-and-rail transport uses a vessel for the international journey before transferring the container onto a freight train. The train then carries the container from the destination port to an inland terminal closer to the receiving location.

    This combination can be suitable for cargo travelling to inland destinations with established rail connections. It allows businesses to use maritime transport for overseas movement and rail for longer inland distances.

    Rail and truck

    Rail-and-truck transport uses trucks for the first and last stages of the journey, while trains cover the longer inland distance. The container is transported to a rail terminal by truck before continuing to another terminal near its destination.

    This arrangement is generally suitable for high-volume cargo travelling across large countries or regions. It combines the door-to-door accessibility of trucking with the carrying capacity of freight rail.

    Rail and barge

    Rail-and-barge transport combines freight rail with inland waterway transport. Rail may carry the loading unit from a production area to a river or canal terminal before a barge continues the journey. The order can also be reversed, depending on the cargo’s origin and destination.

    This combination is most practical in regions with established freight railways and navigable inland waterways. Its suitability also depends on terminal accessibility and the availability of appropriate cargo-handling equipment.

    Truck and barge

    Truck-and-barge transport combines road haulage with inland waterway transport. A truck carries the loading unit from the business premises to an inland port, where it is transferred onto a barge for onward transportation along a river, canal or other navigable waterway.

    This arrangement is suitable for heavy or high-volume cargo, although its practicality depends on access to suitable waterways and terminals, as well as the availability of reliable barge services.

    Advantages of Intermodal Transport

    Intermodal transport allows businesses to combine the capabilities of different transport modes within a single journey. Its advantages are generally more significant for containerised, high-volume or long-distance shipments with reliable terminal connections.

    Greater cost efficiency

    Intermodal transport can help businesses reduce transportation costs, particularly for large-volume and long-distance shipments. Ships, trains and barges can carry more cargo at a time, which may lower the transportation cost per unit. As the goods remain in the same container throughout the journey, businesses may also save on repeated unloading, repacking and handling costs.

    Greater operational efficiency

    Each transport mode handles the leg of the journey for which it is best suited: trucks offer direct access to business premises, while ships, trains, and barges move larger volumes over long distances. Using standardised containers allows cargo to transfer seamlessly between modes without unpacking, leading to smoother cargo movement and easier overall coordination.

    Enhanced cargo security

    By keeping cargo within the same loading unit throughout transfers, intermodal transport reduces its exposure to damage, contamination, loss and theft. Container seals, together with tracking systems where available, can also help businesses monitor shipments and identify possible tampering, although containers may still be opened for customs or security inspections. For added financial protection, businesses may consider cargo insurance against covered loss or damage.

    Disadvantages of Intermodal Transport

    Although intermodal transport can improve efficiency, it requires access to suitable infrastructure and well-coordinated terminal handovers. It may therefore be less practical for small, urgent or short-distance shipments where direct trucking offers a simpler arrangement. 

    Shipment delays during transfers

    Although intermodal transport can offer cost savings, delivery times may be longer when direct rail connections are unavailable, or when services operate only on selected days. Businesses handling time-sensitive cargo should therefore assess route availability, service frequency and carrier reliability before arranging a shipment. If delays occur between connections, temporary warehousing may also be required until the cargo can continue its journey. 

    Higher initial investment

    Setting up an intermodal transport arrangement may require investment in suitable containers, tracking systems, staff training and documentation processes. Businesses may also incur terminal handling, storage and transfer charges throughout the journey. For low-volume or short-distance shipments, these additional expenses may outweigh the potential savings. 

    Requires more planning

    Because several carriers and terminals may be involved, intermodal shipments require careful coordination to keep cargo moving smoothly. Bookings, terminal cut-off times, equipment availability and documentation must align throughout the journey.

    Where regulated cargo is involved, further documentation and specialised dangerous goods shipping arrangements may be required. Businesses should therefore confirm these requirements early, allow sufficient buffer time and prepare alternative plans for unexpected disruptions. 

    Trucking vs Intermodal Transport: What Is the Difference?

    Trucking relies entirely on road vehicles to transport goods from their origin to their destination. In comparison, intermodal transport combines at least two modes of transport and transfers the loading unit between them. Neither option is suitable for every shipment. The appropriate choice depends on factors such as distance, urgency, cargo volume, terminal accessibility and handling requirements.

    TruckingIntermodal Transport
    Transport modesUses road transport throughout the journeyCombines at least two modes, such as road, sea, rail or barge
    Delivery routeProvides direct delivery between road-accessible locationsUsually uses terminals, with trucks covering the first and last stages
    Transit timeOften more suitable for short or urgent deliveriesDepends on fixed schedules, terminal transfers and connection times
    FlexibilityAllows greater flexibility in routes and collection schedulesDepends on terminal locations, service schedules and equipment availability
    CostMay be more economical for shorter or lower-volume journeysMay reduce long-distance costs but includes terminal and transfer charges
    Cargo handlingDoes not require transfers between transport modesTransfers the loading unit without unpacking the goods
    Contract arrangementUsually involves one road carrierMay involve separate carriers or one provider coordinating the journey

    Integrating Intermodal Transportation Into Your Supply Chain

    A well-planned intermodal transport arrangement can provide an affordable and efficient way to move goods, provided the right transport modes and carriers are selected for your needs. Get in touch today to arrange intermodal transportation with us!