According to one embodiment of the invention, a freight transportation system includes a track comprising a pair of rails and a linear motor reaction plate disposed between the rails and a transport vehicle having a universal intermodal container bay configured to accommodate a plurality of containers. The transport vehicle includes one or more suspension systems each having a plurality of steel wheels engaged with the rails. The freight transportation system further includes a linear induction propulsion system coupled to the transport vehicle and operable to work in conjunction with the linear motor reaction plate to move the transport vehicle, and a control system coupled to the linear induction propulsion system and operable to control the movement of the transport vehicle.