Thousands of tank cars will likely be scrapped or redeployed as a result of recently proposed federal regulations to make cars hauling flammable liquids safer and sturdier.

The loss of those cars could exacerbate the current shortage of railcars needed to transport oil and extend the wait times for new cars beyond the current 2016 delivery dates for orders placed today. It could also make it more expensive to ship oil and other fuels at a time when crude-by-rail shipments have been soaring along with U.S. oil production….