Download Sample, Increasing Focus on the Electrification of Trains is Stimulating the Market Expansion
According to the International Energy Agency, the transportation sector accounts for more than half of global oil consumption and approximately one-quarter of total CO2 emissions from fuel combustion. As a result, improvements in transportation are essential for accomplishing global energy transitions. Despite the fact that rail is one of the most energy-efficient forms of freight and passenger transportation, it is sometimes overlooked in public discourse. Owing to the rising environmental concerns, there is a surge in demand for non-polluting, energy-efficient transportation systems. Thus, most countries prefer electricity as a fuel source for various forms of rolling stock.
As a result, global demand for electric locomotives and EMUs (electric multiple units) is expanding rapidly. Countries are also replacing diesel locomotives and DMUS (diesel multiple units) with electric locomotives and EMUS (electric multiple units). Governments around the world are spending excessively on the adoption of electric trains for overall infrastructure development. Electrification will also aid in the achievement of aggressive regional and state climate action targets by cutting greenhouse gas emissions, improving air quality, and alleviating traffic congestion.
As a result, global demand for electric locomotives and EMUs (electric multiple units) is expanding rapidly. Countries are also replacing diesel locomotives and DMUS (diesel multiple units) with electric locomotives and EMUS (electric multiple units). Governments around the world are spending excessively on the adoption of electric trains for overall infrastructure development. Electrification will also aid in the achievement of aggressive regional and state climate action targets by cutting greenhouse gas emissions, improving air quality, and alleviating traffic congestion.
Rising Urbanisation and International Trade are Driving the Demand for Rolling Stocks
Rapid urbanisation and population increase are driving up demand for efficient and sustainable transportation systems in many countries. Railways are seen as a viable solution for lowering congestion and carbon emissions. As a result, there is an increased demand for rolling equipment to serve rising metropolitan areas and accommodate an increasing number of passengers. Furthermore, the expansion of international trade is increasing the need for freight transportation services. Railways play a significant role in efficiently and cost-effectively transporting products across long distances.
As a result, freight wagons and specialty rolling equipment are required to help commodities move through borders. As a consequence, rolling stock manufacturers are always innovating to improve train performance, efficiency, and passenger experience. This approach includes lighter materials, more energy-efficient propulsion systems, greater safety measures, and improved comfort facilities. Moreover, outdated rolling stock is being replaced with newer, more contemporary varieties as a result of technical advancements.
As a result, freight wagons and specialty rolling equipment are required to help commodities move through borders. As a consequence, rolling stock manufacturers are always innovating to improve train performance, efficiency, and passenger experience. This approach includes lighter materials, more energy-efficient propulsion systems, greater safety measures, and improved comfort facilities. Moreover, outdated rolling stock is being replaced with newer, more contemporary varieties as a result of technical advancements.
Recent Trends in the Rolling Stock Industry:
- Growing interest in lightweight materials for improved fuel efficiency.
- Introduction of regenerative braking systems to reduce energy consumption.
- Shift towards modular design for easier customization and maintenance.
- Development of autonomous trains for enhanced safety and efficiency.
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Novel Product Developments, Agreements and Contracts are Providing Traction to the Market Growth
Major market players are focusing on research and development in order to enhance their product offerings. They are also implementing various market strategies such as new product launches, mergers, and acquisitions in order to strengthen their global presence. Siemens Mobility, for example, introduced the Mireo Plus B battery train to the general public at InnoTrans 2022. In 2020, the Landesanstalt Schienenfahrzeuge Baden-Württemberg (SFBW) purchased 27 Siemens Mobility Mireo Plus B trains. The two-car electric trainsets with 120 seats, owing to its battery hybrid motor, can operate on rail tracks with or without overhead power lines and were planned to operate on Network 8 of the Ortenau regional system.
Later, in May 2022, Medha Servo Drives, based in India, signed a joint venture (JV) deal with Swiss railway rolling equipment company Stadler Rail to construct a new rail coach manufacturing business in the Indian state of Telangana. The new facility will be constructed over a two-year period with an investment of INR10 billion ($129 million). Again, in April 2023, Siemens Mobility secured two separate orders from Gujarat Metro Rail Corporation Limited (GMRCL) for the Ahmedabad Metro Phase 2 and the Surat Metro Phase 1 as part of a cooperation with Rail Vikas Nigam Limited. Both cities are located in Gujarat's western state. Siemens Mobility's stake in the collaboration is estimated to be worth €75 million.
Later, in May 2022, Medha Servo Drives, based in India, signed a joint venture (JV) deal with Swiss railway rolling equipment company Stadler Rail to construct a new rail coach manufacturing business in the Indian state of Telangana. The new facility will be constructed over a two-year period with an investment of INR10 billion ($129 million). Again, in April 2023, Siemens Mobility secured two separate orders from Gujarat Metro Rail Corporation Limited (GMRCL) for the Ahmedabad Metro Phase 2 and the Surat Metro Phase 1 as part of a cooperation with Rail Vikas Nigam Limited. Both cities are located in Gujarat's western state. Siemens Mobility's stake in the collaboration is estimated to be worth €75 million.
High Capital Costs and Regulations are Likely to be a Challenge for the Market Progress
High capital investments associated with rolling stock manufacture and railway infrastructure expansion are expected to impede market growth in the future. Furthermore, rising expenses associated with technology integration can have a detrimental impact on industry growth. A high level of competitiveness in the rolling stock business will put further pressure on cost optimization. Rail clients' purchasing behaviour is frequently characterised by different decisions regarding mode of travel, specific carrier to choose, and, most crucially, pricing. Such variables lead to a high level of cost control, which affects rolling stock production processes.
Additionally, a strict regulatory environment can have an impact on the rolling stock industry's growth throughout the forecast period. These restrictions require train businesses to compete fairly and effectively, providing obstacles. Decarbonization trends, fuelled by increased awareness about cutting carbon emissions, will push railway electrification in the future. However, this will necessitate additional expenditures, inhibiting market growth.
CRRC Corporation Limited, Trinity Rail, Alstom Transport, GE Transportation, Siemens Mobility, The Greenbrier Co., Hyundai Rotem, Stadler Rail AG, Hitachi Rail System are some of the prominent market players operating in the global rolling stock market.
Additionally, a strict regulatory environment can have an impact on the rolling stock industry's growth throughout the forecast period. These restrictions require train businesses to compete fairly and effectively, providing obstacles. Decarbonization trends, fuelled by increased awareness about cutting carbon emissions, will push railway electrification in the future. However, this will necessitate additional expenditures, inhibiting market growth.
CRRC Corporation Limited, Trinity Rail, Alstom Transport, GE Transportation, Siemens Mobility, The Greenbrier Co., Hyundai Rotem, Stadler Rail AG, Hitachi Rail System are some of the prominent market players operating in the global rolling stock market.
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Rising Investments for Infrastructure Development and the Expansion of High-Speed Rail Networks is Impacting the Market Expansion
Asia Pacific is expected to experience significant growth in the rolling stock market during the forecast period. This growth can be attributed to the rising urbanization and the expansion of urban rail networks in the region. Furthermore, significant investments for the enhancement of the railway infrastructure in the region are also contributing to the market development. On the other hand, North America is anticipated to witness growth in the rolling stock market owing to the active development of high-speed train projects in various regions. High-speed rail needs the employment of specialized rolling stock capable of achieving higher speeds, necessitating a greater demand for new trains and associated technology. Additionally, the rising demand for freight transportation is driving a surge in the adoption of modern freight wagons and specialized rolling stock in the region.
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The report provides a detailed overview of the rolling stock market insights in regions including North America, Latin America, Europe, Asia-Pacific, Oceania, and the Middle East and Africa. The country-specific assessment for rolling stock market has been offered for all regional market share, along with forecasts, market scope estimates, price point assessment, and impact analysis of prominent countries and regions. Throughout this market research report, Y-o-Y growth and CAGR estimates are also incorporated for every country and region, to provide a detailed view of the rolling stock market. These Y-o-Y projections on regional and country-level markets brighten the political, economic and business environment outlook, which are anticipated to have a substantial impact on the growth of the rolling stock market. Some key country and region included in the rolling stock market report as follows:
| Regions | Countries |
|---|---|
| North America | United States, Canada |
| Latin America | Brazil, Mexico, Argentina, Colombia, Chile, Rest of Latin America |
| Europe | Germany, United Kingdom, France, Italy, Spain, Russia, Poland, Netherlands, Belgium, Sweden, Austria, Slovakia, Hungary, Romania, Czech Republic, Rest of Europe |
| Asia Pacific | China, India, Japan, South Korea, Australia & New Zealand, Indonesia, Malaysia, Vietnam, Thailand, Rest of Asia Pacific |
| Middle East and Africa | GCC Countries, South Africa, Egypt, Turkey, Morocco, Nigeria, Iran, Rest of MEA |
Rolling Stock Market Research Report Covers In-depth Analysis on:
- Rolling stock market detailed segments and segment-wise market breakdown
- Rolling stock market dynamics (Recent industry trends, drivers, restraints, growth potential, opportunities in rolling stock industry)
- Current, historical and forthcoming 10 years market valuation in terms of rolling stock market size (US$ Mn), volume (Units), share (%), Y-o-Y growth rate, CAGR (%) analysis
- Rolling stock market demand analysis
- Rolling stock market pricing analysis over forecast period (by key segment and by region)
- Rolling stock market regional insights with region-wise market breakdown
- Competitive analysis – key companies profiling including their market share, product offerings, and competitive strategies.
- Latest developments and innovations in rolling stock market
- Regulatory landscape by key regions and key countries
- Supply chain and value chain analysis in rolling stock market
- Rolling stock market sales and distribution strategies
- A comprehensive overview of parent market
- A detailed viewpoint on rolling stock market forecast by countries
- Mergers and acquisitions in rolling stock market
- Essential information to enhance market position
- Robust research methodology
- Frequently Asked Questions -
How do advancements in technology impact the rolling stock market?
Technological advancements in electric propulsion, automation, and predictive maintenance are significantly improving the efficiency and safety of rolling stock, driving demand for modernized fleets.
What factors are driving the growth of the rolling stock market?
Increased demand for efficient and eco-friendly transportation systems, government investments in rail infrastructure, and the need for upgraded fleets are key drivers of market growth.
How are manufacturers adapting to environmental regulations in the rolling stock market?
Manufacturers are focusing on producing more sustainable rolling stock, including electric and hybrid trains, to meet environmental regulations and reduce emissions.
What are the market trends shaping the future of rolling stock?
The future of the rolling stock market is influenced by trends such as electrification, automation, digitization, and sustainability efforts to improve operational efficiency and reduce environmental impact.
