ROLLING STOCK MARKET IN EUROPE
- COVID-19 has had never-seen-before impact on rail sector in EU with ~€26billion in losses, but the European Commission has taken stringent measures to boost passenger and freight services for the long term
- Long distance trans-Eurasian rail lines are benefiting from the crisis. The crisis increased air shipping prices and transit times in air and ocean freight, thus boosting railways’ competitivity.
- In Jan 2021, Alstom delivered the first of five ETR470 Pendolino trains to TRAINOSE(the biggest rail transport provider in Greece), thus marking the arrival of high-speed trains in Greece
- The light urban rails (Metro+ LRV) in the region is highly mature and saturated market and the CAGR for the period is estimated to be 2.3%. Most of the demand stems from upgradation of older rolling stock.
- Between 2015 and 2018, Light rail( tram) infrastructure in Europe grew by ~4% from ~8,900 km to ~9,300 km. In future rail extension planning, the share of EU 15 has come down to ~48%, whereas Norway, Sweden and Turkey have become far more aggressive on light rail
As of Feb 2021, there are more than 200 passenger railway operating companies in the European Union, generating more than 9 billion trips annually. Germany and Switzerland alone have more than 100 rail operators. About 70% of all operators are public(government) owned whereas the remaining are private owned.
In terms of infrastructure, about 230,000km long rail tracks exist in all EU countries.Germany, France and Poland have more than 30% cumulative share, Germany being the biggest.
High speed rail is an important mode of transport for long distance travel in Europe. The importance of high-speed rail in Europe can be testified by the fact that since the launch of the Frecciarossa brand 10 years ago in Italy, rail’s share of the market has almost doubled on the Rome – Milan corridor had grown from 35% to 66%.
MARKET SIZE AND FORECAST
As of Feb 2021, ~120,000 rail coaches(including EMU) run everyday in Europe. A large chunk of new rolling stock orders are due to expansion of existing networks or replacement of earlier rolling stock.
The outlook for Europe in 2020-2025 is strong and positive. Many orders are expected for high speed trains in U.K. Switzerland, Netherlands . LRV order ares expected in Germany, France and the U.K., especially for commuter and regional trains as well as for metros and light rail vehicles (LRV).
The global rolling stock market is estimated at $50-$55 Billion annually.Europe accounts for ~35-38% of global market. Rolling stock market size in Europe is estimated at ~$20 Billion in 2020.
In Western Europe, Light rail vehicles account for the highest share of new rolling stock orders.11 operators in UK are planning for new carriages with more seats, charging points, wireless internet and HVAC, $16 Billion allocated for same between 2019-2022. UK will spend ~$60 Billion between 2019-2024 on rail infra and has set a goal to decarbonise and eliminate diesel rolling stock by 2040.
Recent(Oct 2020- Feb 2021) LRV rolling stock orders in Europe
|Announced||Country||Supplier||Units||Project worth |
|Avg cost per vehicle |
|Feb 2021||Germany||Skoda Transportation||24 trams||110||4.6( trams in a 3 car configuration)||• Contract also has option to add further 21 trams|
|Dec 2020||Switzerland||Bombardier||40 trams||160||4(trams)||• Order for Flexity trams |
• Part of an earlier 2017 contract
|Dec 2020||Germany||Bombardier||Upto 117 trams||571||3.2( trams)||• For Berliner Verkehrsbetriebe (BVG) |
• will be equipped with Bombardier’s obstacle detection assistance system (ODAS),
|Nov 2020||Germany||Siemens Mobilitty||109 trams||400||3.9||• High floor vehicles |
• option for a further 48 units as well as a maintenance and servicing agreement
|Nov 2020||Germany||Alstom-Kiepe electric||64 trams||363||5.5(trams)||• based on Alstom’s Citadis platform|
|Oct 2020||France||Alstom||49 trams||200||4(trams)||• Citadis trams |
• For Nantes Métropole
In Europe, the key change in rolling stock engineering is the move from electronic to software-controlled trains. The software controlled trains allow for remote diagnostics and reduced downtime, improving efficiency and boosting productivity.
RECENT DEVELOPMENTS IN ROLLING STOCK MARKET IN EUROPE
- Jan 2020– Stadler won an order for its new gen tram which features driver assistance system with traffic sign recognition, a new bogie design to optimize the use of space and improve maintainability, and an air- conditioning system with CO2 as the refrigerant
- Jan 2020- The first driver-less metro line in Hamburg has been formally handed over to operator Hamburger Hochbahn for construction to be completed by 2021
- Jan 2020– Switzerland based Chemin de Fer Nyon-Saint-Cergue-Morez awarded Stadler a contract to supply six two-car electric multiple-units. The EMUs will be delivered between late 2021 and early 2022
- Dec 2019-Mittelsachsen transport authority ZVMS finalized an order for 11 battery multiple-units worth $55 Million. ZVMS plans to deploy the units from 2023 on Leipzig – Chemnitz service RE6 which is currently operated Siemens ER20 diesel-electric locomotives and coaches
- Dec 2019– Škoda Transportation and Sinara Group signed an agreement to establish a 50:50 joint venture for the production of metro trains, trams and trolleybuses for Russian market
- Dec 2019- TransANT is testing modular wagons with exchangeable bodies which Rail cargo group has developed in conjunction with its customers
- Dec 2019– World`s first prototype passenger vehicle bogie made from recycled carbon fiber was revealed at the railway industry Association’s unlocking innovation event at the University of Huddersfield, UK. Advantages of a carbon fibre body include, reduced energy consumption,lower track wear and reduced infrastructure maintenance costs.
- Dec 2019– GERMAN Rail announced plans to invest $13.5 Billion in new trains in 2020-2026 to increase long-distance seating capacity by 20% and replace commuter trains
- Dec 2019– SPANISH national rail operator Renfe has announced Avlo as the brand of its new low-cost high-speed service, will be launched on April 6, 2020 on the Madrid – Zaragoza – Barcelona route
- Dec 2019- Switzerland based Sihltal Zürich Uetliberg Bahn awarded Stadler a $45 Million contract to supply five three-section Be570 electric multiple-units for the 1 435 mm gauge Uetlibergbahn.All five EMUs are expected to be in service from from July 2022.
Two European cities have chosen CAF once more to carry out two contracts that will enhance their urban public transportation services. In one instance, it will replace the light metro vehicles on Line 1 in Athens, and in another instance, it will provide Seville with new trams. The combined value of these two contracts is rather significant.
The scope of the work that needs to be done on the units will include CAF Power & Automation replacing the traction equipment, installing brand-new, cutting-edge motors with improved consumption efficiency, and updating a number of other systems, including those that deal with braking equipment, vehicle access door control, and passenger information systems, to name a few.
In order to enhance passenger comfort and safety, the project also involves enhancing train access, renovating the inside of the units, and creating spaces for people with limited mobility.
Rolling stock market in Europe is consolidated, the top 4 players account for more than 70% market share. Alstom and Siemens are the market leaders in Europe with the highest market share of ~XX% and XX% respectively. European Stadler rail which has procured many projects for trams and subways holds ~XX%, market share and occupy 3rd position in the market.
Hitachi Rail has successfully tested its first battery-powered tram in Florence – The trial involves installing battery packs on an existing Hitachi-built Sirio tram, which covered a section of the line under battery power. The innovation allows power to be returned to the batteries when the train brakes, reducing the overall amount of energy consumed and protecting the environment.
Bombardier Transportation and Italian intermodal freight operator GTS Rail, strengthened their partnership with a new order from GTS Rail for three more BOMBARDIER TRAXX DC3 E.494 locomotives for its fleet.
DB Regio Bayern has ordered 31 regional trains from Siemens Mobility. The trains will serve on routes between Munich, Passau and Regensburg. Siemens Mobility will be delivering 25 double-decker Desiro HC trainsets and six single-decker Mireo trainsets.
- Hitachi Rail Europe
- Stadler Rail
- Alstom SA
- Bombardier Transportation
- Siemens Mobility
- Skoda Transportation
- Titagarh Wagons AFR
- Talgo, S.A.
- CAF Rail
- Hyundai Rotem
- Vossloh Locomotives GmbH
- Wabtec Corporation
- Modertrans Poznań
THIS REPORT WILL ANSWER FOLLOWING QUESTIONS
- Market size and forecast of Rolling stock market in Europe, by application and product type (2021-2026)
- Global Rolling stock Demand Overview
- Recent rolling stock orders segmented by vehicle type
- Recent tenders for Rail freight wagon manufacturing
- Development of Multimodal Chemical Transport Cluster- Antwerp (Belgium)
- European Rail Refurbishment/Replacement Market
- Opportunity for component manufacturers (traction motor, HVAC, signalling, pantograph, seats and auxiliary suppliers) in the rolling stock market in Europe
- Details on new rolling stock development and infrastructure upgradation of Europe rolling stock market
- Growth strategy of major players
- Market share of major vendors ,2019