Rail Transport Global Market Report 2024

The rail transport market size has grown strongly in recent years. It will grow from $546.13 billion in 2023 to $582.61 billion in 2024 at a compound annual growth rate (CAGR) of 6.7%. The expansion observed in the historical period can be ascribed to robust economic growth in emerging markets, an upswing in e-commerce, alterations in taxation rules, and an increase in mining activity.

The rail transport market size is expected to see strong growth in the next few years. It will grow to $748.97 billion in 2028 at a compound annual growth rate (CAGR) of 6.5%. The anticipated expansion in the forecast period can be linked to the introduction of high-speed trains, technological advancements, and a focus on reducing carbon emissions. Key trends expected in the forecast period involve the adoption of head-on generation (HOG) technology to minimize carbon footprints, enhance operational profitability, and reduce operating costs and fuel-related expenses. Additionally, leveraging digitalization to enhance passenger experiences and cut costs, investing in connected mobility to ensure smoother trips for drivers and passengers, and utilizing obstacle detection assistance systems to improve passenger safety and reduce accidents are significant trends.

The growth of the rail transport services market is supported by the projected stable economic growth in both developed and developing countries. According to the International Monetary Fund (IMF), global GDP is expected to grow by 3.3% in 2020 and 3.4% in 2021. Recovering commodity prices, following a significant decline in the historical period, are anticipated to contribute to the market's growth. Developed economies are forecasted to maintain stable growth during the projection period, with emerging markets expected to grow slightly faster than their developed counterparts. This stable economic growth is poised to drive investments in end-user markets, consequently fueling the rail transport market.

The increasing demand for rail freight transport is a key factor expected to propel the growth of the overall rail transport market. Rail freight involves the transportation of commodities on trains, offering a cost-effective and efficient means of delivering larger cargo volumes over extended distances compared to air, ocean, or road transit. The growth in rail freight is likely to stimulate railroad construction, as a higher number of trains will be required to accommodate the increased demand for rail freight transport. For example, in October 2022, Eurostat reported an 8.7% increase in rail freight transport in the European Union (EU) in 2021 compared to 2020. Thus, the rising demand for rail freight transport is a significant driver behind the growth of the rail road construction market. Overall, increasing urbanization is contributing to the growth of the rail transport market.

The rail transportation industry is increasingly adopting Advanced Driver Assistance System (ADAS) technology to optimize energy usage, improve operational management, enhance safety, and contribute to cost reduction. These systems offer automatic warning, protection, operation, supervision, and control arrangements, helping meet stringent government regulations related to passenger safety. Globally, around 60 million units of advanced driver assistance systems have been produced, with companies such as Thales Group, Alstom S.A., Bombardier Transportation, Hitachi Ltd., CRRC Corporation Limited, Ansaldo STS, and SIEMENS AG providing these systems for locomotives.

Prominent companies in the rail transport market are actively developing rail tracking solutions to improve efficiency and maintain their market positions. Rail tracking solutions involve advanced technologies that monitor and optimize the movement of trains and railway operations. For example, in June 2023, Vizion, a US-based API-based solution, introduced an intermodal rail tracking feature. This innovative solution complements Vizion's existing ocean tracking capabilities, providing seamless visibility for shippers, logistics service providers, and other users as containers transition from maritime vessels to inland transportation. The intermodal rail tracking solution streamlines the tracking process by eliminating the need for a lengthy Letter of Authorization process and separate transactions for ocean and rail tracking.

Major companies operating in the rail transport market report are Deutsche Bahn, BNSF, JSC Russian Railways, Indian Railways, SNCF, Union Pacific Corporation, East Japan Railway Company, CSX Corporation, Central Japan Railway Company, Canadian National Railway Company, Aurizon Holdings Ltd., China State Railway Group Co. Ltd., Container Corp. of India Ltd., Japan Freight Railway Co., KiwiRail Ltd., PT Kereta Api Indonesia (Persero), Qube Holdings Ltd., Twentieth Super Pace Nominees Pty Ltd., Abellio ScotRail, Arriva Rail London, Avanti West Coast, c2c, Caledonian Sleeper, Chiltern Railways, CrossCountry, East Midlands Railway, Eurostar, Govia Thameslink Railway, Greater Anglia, Great Western Railway, Hull Trains, Grand Central, Merseyrail, Virgin Trains, ScotRail, London Overground, Heathrow Connect, ČD Cargo, České dráhy, Die Länderbahn, GW Train Regio, Emperor Franz Joseph Railway, Căile Ferate Române, CFR Marfă, Burlington Northern Santa Fe LLC, Norfolk Southern Corporation, The National Railroad Passenger Corporation, SOO Line Railroad Company, Kansas City Southern, Canadian Pacific Railway, Hudson Bay Railway Co., Quebec North Shore and Labrador Railway, Rampa Express De Mexico, Unitrade, Haf Logistica Internacional, SILT Corporation, Brazil Great Southern Railway, Companhia do Metropolitano de São Paulo, Companhia Paulista de Estradas de Ferro, Ferrocarril Transandino, Perurail, Belmond Andean Explorer, Ferrovías Central Andina, Estrada de Ferro Central do Brasil, Saudi Railway Company, Israel Railways Ltd., Iraq Republic Railways Co., Middle East Rail, Turkish State Railways (TCDD), Arabian Railway Company, Egyptian National Railways (ENR), Passenger Rail Agency of South Africa (PRASA), Transnet Freight Rail, Nigerian Railway Corporation.

Asia-Pacific was the largest region in the rail transport market in 2023. Western Europe was the second largest region in the rail transport market. The regions covered in the rail transport market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the rail transport market report are Australia, China, India, Indonesia, Japan, South Korea, Bangladesh, Thailand, Vietnam, Malaysia, Singapore, Philippines, Hong Kong, New Zealand, USA, Canada, Mexico, Brazil, Chile, Argentina, Colombia, Peru, France, Germany, UK, Austria, Belgium, Denmark, Finland, Ireland, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, Russia, Czech Republic, Poland, Romania, Ukraine, Saudi Arabia, Israel, Iran, Turkey, UAE, Egypt, Nigeria, South Africa. The rail transport market includes revenues earned by entities by providing transportation because it is unaffected by traffic and adverse weather conditions and can carry large amounts of goods. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The primary categories within the rail transport market include passenger rail transport and rail freight. Rail freight encompasses services where goods are transported via rail cars. Distances in rail transport are categorized into long-distance and short-distance, while destinations are classified as domestic and international. Various industries, including mining, construction, agriculture, and others, utilize rail transportation.

The rail transport market research report is one of a series of new reports that provides rail transport market statistics, including rail transport industry global market size, regional shares, competitors with a rail transport market share, detailed rail transport market segments, market trends and opportunities, and any further data you may need to thrive in the rail transport industry. This rail transport market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.