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Freight Rail Transport in Europe - Market Size, Industry Analysis, Trends and Forecasts (2024-2029)

ISIC 4912 April 2024 Spotlight Report

Revenue

€48.4bn

2019-2024 2.0 %
2024-2029 X.X %

Employees

708k

2019-2024 8.3 %
2024-2029 X.X %

Businesses

4,291

2019-2024 6.7 %
2024-2029 X.X %

Profit

€X.Xbn

2019-2024 X.X %

Profit Margin

X.X%

2019-2024 X.X pp

Wages

€X.Xbn

2019-2024 X.X %
2024-2029 X.X %

Freight Rail Transport in Europe industry analysis

European freight rail transportation has succumbed to intense competition over the past decade, with road freight accounting for an increasing proportion of inland freight volumes. Accordingly, as per Eurostat data, the share of EU freight transport performed by rail decreased from 19.2% in 2011 to 16.8% in 2020. Dependence on rail freight varies widely across Europe, with Russia being the most prominent user of rail freight transport. Western Europe uses their extensive railway network for passenger transport, whereas Central Europe and the Balkans rely more heavily on rail freight. For example, according to Eurostat, in 2020, a third of railway traffic in Poland came from freight services, while in France, it was only 15%.

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Industry Statistics and Trends

Freight Rail Transport in Europe key trends

The European rail freight industry suffers from intense external competition.

 

The share of EU freight transport performed by rail, based on tonne-km, decreased between 2011 and 2020 to 16.8% in 2020, while the percentage completed by road increased.

Germany leads freight rail transport in Europe.

 

According to the Eurostat, Germany was by far the most significant contributor to the rail freight transport performance in the EU (excluding Belgium), representing 31% of total EU rail freight transport in 2021.

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Freight Rail Transport in Europe

Industry Revenue

Total value and annual change from 2011-2029. Includes 5-year outlook.

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Freight Rail Transport in Europe market size (2019-2024)

Industry revenue has declined at a CAGR of 2.0 % over the past five years, to reach an estimated €48.4bn in 2024.

Trends and Insights

The European rail freight industry suffers from intense external competition

  • Approximately 3.1 trillion tonne-kilometres of goods were hauled across the European rail network in 2019, making it the second-largest region for rail freight worldwide.

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Freight Rail Transport in Europe outlook (2024-2029)

Market size is projected to grow over the next five years.

The ongoing Net Zero agenda favours investment in rail transport infrastructure

  • With the increasing concerns over more sustainable transportation in the region, like the EU’s commitment to cut GHG emissions 55% below 1990 levels by 2030, demand for rail freight will soar in the coming years, supported by ongoing investment from the European Commission.

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Revenue

€48.4bn

2019-2024 2.0 %
2024-2029 X.X %

Employees

708k

2019-2024 8.3 %
2024-2029 X.X %

Wages

€X.Xbn

2019-2024 X.X %
2024-2029 X.X %

European Leaders & Laggards

Europe Job Growth CAGR: 8.3 % *
  • Job Growth

Top 5 Countries

  1. Serbia +32.8%
  2. Ireland+32.6%
  3. Belgium +31.7%
  4. Slovenia +16.9%
  5. Finland +13.7%

Bottom 5 Countries

  1. Croatia -17.0%
  2. Estonia -15.5%
  3. Latvia -13.9%
  4. Austria -10.5%
  5. Denmark -9.8%

* CAGR values are for the years 2019-2024.

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Biggest companies in the Freight Rail Transport in Europe

Company
Market Share (%)
2024
Revenue (€m)
2024
Profit (€m)
2024
Profit Margin (%)
2024
DB Cargo AG
5,573.6
-55.7
-1.0
Rail Cargo Austria AG
2,061.3
36.6
1.8
Société Nationale SNCF SA
43,545.3
2,545.3
5.8

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Freight Rail Transport in Europe

Products & Services Segmentation

Industry revenue broken down by key product and services lines.

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Top Questions Answered in this Report

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What is the market size of the Freight Rail Transport industry in Europe in 2024?

The market size of the Freight Rail Transport industry in Europe is €48.4bn in 2024. 

How many businesses are there in the Freight Rail Transport in Europe industry in 2024?

There are 4,291 businesses in the Freight Rail Transport industry in Europe, which has grown at a CAGR of 6.7 % between 2019 and 2024.

Has the Freight Rail Transport industry in Europe grown or declined over the past 5 years?

The market size of the Freight Rail Transport industry in Europe has been declining at a CAGR of 6.7 % between 2019 and 2024. 

What is the forecast growth of the Freight Rail Transport industry in Europe over the next 5 years?

Over the next five years, the Freight Rail Transport industry in Europe is expected to decline.

What are the biggest companies in the Freight Rail Transport market in Europe?

The biggest companies operating in the Freight Rail Transport market in Europe are DB Cargo AG, Rail Cargo Austria AG and Société Nationale SNCF SA

What does the Freight Rail Transport in Europe include?

National transport and International transport are part of the Freight Rail Transport industry.

Which companies have the highest market share in the Freight Rail Transport in Europe?

The company holding the most market share in Europe is DB Cargo AG.

Which countries have the most businesses in the Freight Rail Transport industry in Europe?

The European country with the most businesses in the Freight Rail Transport industry is Russia.

How competitive is the Freight Rail Transport industry in Europe?

The level of competition is moderate and increasing in the Freight Rail Transport industry in Europe.

Related Industries

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Table of Contents

About this industry

Industry definition

Companies in this industry transport freight via rail on both mainline rail networks and short-line freight railroads across Europe. The industry does not include cargo handling, warehousing and storing goods, or railroad infrastructure operations.

Related Terms

MODAL SHIFTTRANS-EUROPEAN TRANSPORT NETWORKMULTIMODAL TRANSPORT

What's included in this industry?

National transport International transport Transit services

Companies

DB Cargo AGRail Cargo Austria AGSociété Nationale SNCF SA

Industry Code

ISIC 2006

4912 - Freight rail transport in Europe

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Performance

Key Takeaways

The European rail freight industry suffers from intense external competition

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Revenue Highlights

Trends
  • Revenue
  • 2024 Revenue CAGR
  • Revenue Volatility

Employment Highlights

Trends
  • Employees
  • Employees per Business
  • Revenue per Employee

Business Highlights

Trends
  • Businesses
  • Employees per Business
  • Revenue per Business

Profit Highlights

Trends
  • Total Profit
  • Profit Margin
  • Profit per Business

Current Performance

Charts
  • Revenue in the Freight Rail Transport in Europe industry (2011 -2029)
  • Employees in the Freight Rail Transport in Europe industry (2011 -2029)
  • Business in the Freight Rail Transport in Europe industry (2011 -2029)
  • Profit in the Freight Rail Transport in Europe industry (2011 -2029)
Analysis

What's driving current industry performance in the Freight Rail Transport in Europe industry?


Outlook

Analysis

What's driving the Freight Rail Transport in Europe industry outlook?


Volatility

Analysis

What influences volatility in the Freight Rail Transport in Europe industry?

Charts
  • Industry Volatility vs. Revenue Growth Matrix

Life Cycle

Analysis

What determines the industry life cycle stage in the Freight Rail Transport in Europe industry?

Charts
  • Industry Life Cycle Matrix

Products and Markets

Highlights

Trends
  • Largest Market
  • Product Innovation

Key Takeaways

Obstacles hinder international freight transport growth. Delivering freight across Europe requires a new train driver with no uniform EU track width – barriers that do not concern road freight transport.

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Products and Services

Charts
  • Products and Services Segmentation
Analysis

How are the Freight Rail Transport in Europe industry's products and services performing?

Analysis

What are innovations in the Freight Rail Transport in Europe industry's products and services?


Major Markets

Charts
  • Major Market Segmentation
Analysis

What influences demand in the Freight Rail Transport in Europe industry?


International Trade

Highlights

  • Largest Importer
  • Smallest Importer
  • Total Imports into Europe
  • Largest Exporter
  • Smallest Exporter
  • Total Exports into Europe
Heat maps
  • Industry Concentration of Imports by Country
  • Industry Concentration of Exports by Country
Data Tables

Value and annual change (%) included

  • Number of Imports and Exports by European Country (2024)

Geographic Breakdown

Business Locations

Heat maps
  • Share of Total Industry Revenue by Region (2024)
  • Share of Total Industry Enterprises by Region (2024)
  • Share of Total Industry Employment by Region (2024)
  • Share of Total Industry Wages by Region (2024)

Industry Geographic Breakdown

Data Tables

Values and annual change provided for 37 European countries:

  • Revenue (2024)
  • IVA (2024)
  • Enterprises (2024)
  • Employment (2024)
  • Exports (2024)
  • Imports (2024)

Competitive Forces

Highlights

Trends
  • Concentration
  • Competition
  • Barriers to Entry
  • Substitutes
  • Buyer Power
  • Supplier Power

Key Takeaways

Competition in individual regions is low. Once train operating companies win a contract, they have a natural monopoly on their area, limiting internal competition.

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Supply Chain

Charts

Buyer and supply industries

Companies

Market Share

Charts
  • Industry Market Share by Company (2019-2024)

Companies

Data Tables

Top 10 companies by market share:

  • Market share (2024)
  • Revenue (2024)
  • Profit (2024)
  • Profit Margin (2024)

Data Tables
  • Countries of operation for DB Cargo AG
  • Countries of operation for Rail Cargo Austria AG
  • Countries of operation for Société Nationale SNCF SA
  • Countries of operation for PKP Cargo SA
  • Countries of operation for Merceitalia Rail Srl
  • Countries of operation for SBB Cargo AG
  • Countries of operation for Ceské dráhy Group
  • Countries of operation for LINEAS NV/SA
  • Countries of operation for Freightliner Group Ltd
  • Countries of operation for Renfe Mercancías SME, SA

External Environment

Highlights

Trends
  • Regulation & Policy
  • Assistance

Key Takeaways

Harmonised regulations improve efficiency. EU railways (interoperability) regulations ensure standard Technical Specifications for Interoperability apply across Europe's railways and establish a formal European verification and authorisation process for placing new, upgraded or renewed infrastructure or rolling stock in service.

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External Drivers

Analysis

What demographic and macroeconomic factors impact the Freight Rail Transport in Europe industry?

Financial Benchmarks

Highlights

Trends
  • Profit Margin
  • Average Wage
  • Largest Cost

Key Takeaways

Decreasing employment lowers wage costs. Greater automation in the rail freight industry has kept the industry immune to European labour shortages.

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Cost Structure

Charts
  • Share of Economy vs. Investment Matrix
  • Industry Cost Structure Benchmarks:
    • Marketing
    • Depreciation
    • Profit
    • Purchases
    • Wages
    • Rent
    • Utilities
    • Other
Analysis

What trends impact cost in the Freight Rail Transport in Europe industry?


Key Ratios

Data tables
  • IVA/Revenue (2014-2029)
  • Imports/Demand (2014-2029)
  • Exports/Revenue (2014-2029)
  • Revenue per Employee (2014-2029)
  • Wages/Revenue (2014-2029)
  • Employees per Establishment (2014-2029)
  • Average Wage (2014-2029)

Country Benchmarks

European Leaders & Laggards

Data Tables

Top and boottom five countries listed for each:

  • Revenue Growth (2024)
  • Business Growth (2024)
  • Job Growth (2024)

European Country Performance

Data Tables

Rankings available for 37 countries. Statistics ranked include:

  • IVA/Revenue (2024)
  • Imports/Demand (2024)
  • Exports/Revenue (2024)
  • Revenue per Employee (2024)
  • Wages/Revenue (2024)
  • Employees per Establishment (2024)
  • Average Wage (2024)

Structural Comparison

Data Tables

Trends in 37 countries benchmarked against trends in Europe

  • Concentration
  • Competition
  • Barriers to Entry
  • Buyer Power
  • Supplier Power
  • Volatility
  • Capital Intensity
  • Innovation
  • Life Cycle

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2014-2029)
  • IVA (2014-2029)
  • Establishments (2014-2029)
  • Enterprises (2014-2029)
  • Employment (2014-2029)
  • Exports (2014-2029)
  • Imports (2014-2029)
  • Wages (2014-2029)

Methodology

Where does IBISWorld source its data?

IBISWorld is a world-leading provider of business information, with reports on 5,000+ industries in Australia, New Zealand, North America, Europe and China. Our expert industry analysts start with official, verified and publicly available sources of data to build an accurate picture of each industry.

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and IBISWorld's proprietary database of statistics and analysis to provide balanced, independent and accurate insights. 

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools.

To learn more about specific data sources used by IBISWorld's analysts globally, including how industry data forecasts are produced, visit our Help Center.