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Autonomous Train Technology Market Expected to Reach $15,568.6 Million by 2026


quote Based on grade of automation, the GoA 2 segment dominated the global autonomous train technology market in 2018, in terms of revenue. However, the GoA 4 segment is expected to grow at a higher CAGR of 16.4% during the forecast period, as it reduces the cost incurred in the form of salaries to be paid to drivers to a much larger extent, which is driving the growth of the market. In addition, it offers increased passenger capacity and optimized travel time, which are expected to boost the market growth. Furthermore, depending on different technologies studied, the CBTC segment garnered a major share in the global autonomous train technology market in 2018. However, the ETRMS segment is expected to grow at a higher CAGR of 16.2% in the near future, owing to its global signaling standard. Moreover, it is majorly designed to deal with the growing transport demand and to improve the capacity of road lines, which are opportunistic for the market expansion. quote

According to Akshay Jadhav
Lead Analyst, Automotive & transportation at Allied Market Research

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According to a recent report published by Allied Market Research, titled, "Autonomous Train Technology Market by Grade of Automation, Train Type, Technology and Component: Global Opportunity Analysis and Industry Forecast, 2019-2026" the global autonomous train technology market was valued at $5.88 billion in 2018, and is projected to reach $15.57 billion by 2026, registering a CAGR of 12.9% from 2019 to 2026.

At present, Canada dominates the market, followed by the U.S. and Mexico in North America. However, U.S. is expected to grow at a higher CAGR during the forecast period. In addition, in 2018, France led the autonomous train technology market size in Europe region followed by Italy, Germany, rest of Europe, Russia, and the UK. 

With the implementation of automation in trains, the capacity of the trains is increased with higher operational shift and train frequencies. Also, the turn-around time for the trains can be reduced at the terminus and new or additional trains can be introduced at routes having traffic congestion or at peak times. Moreover, the removal of driver cabins gives extra physical space to the passengers resulting in the rise in GRADE OF AUTOMATION to about 6%. Further, the reliability of driverless trains is much higher as compared to traditional trains as the chances for human errors are reduced to a larger extent owing to the automation technology which is driving the growth of the autonomous train technology market analysis.

Train automation requires all of the operations of the train to be automated with the help of components such as sensors, cameras, communication devices, and more. Thus, higher budget needs to be allocated for upgradation of the existing trains, infrastructure, development of the trains and many more. Most of the developed countries have already adopted the autonomous trains of GoA-4. For instance, Australia have fully adopted automation in their railway industry and developing countries such as India, China which are in development phase are allocating higher budgets for automation. Further, unattended trains or driverless trains require highly trained professionals, advanced system on the train and at the control rooms to carry out the flawless operations and working which further incurs the cost. The overall effect of the same results in the need of large investments for the automation process which is expected to hamper the growth of the autonomous train technology market especially in developing countries.

Autonomous railway infrastructure within a country increases the speed and efficiency of the railway systems for freight and passenger transportation. Also, the implementation of the autonomous train needs to be backed up by a large investment. The governments of the developing countries are investing more and more to meet the latest technology setup required for autonomous train. For instance, India invested $1.97 billion in the year 2018 towards its infrastructure development to meet the latest automation demand and will be investing $777.73 billion till the year 2022 to meet the required infrastructure demand which includes railway infrastructure development. This makes way for the numerous opportunities for train automation players operating in the country. Similarly, Paris has also allocated $28.2 billion to automate its old metro network with the construction of four new metro lines across Paris and expanding the existing lines. Hence, such improvements in developing countries creates autonomous train technology market opportunity.

Key Findings of the Autonomous Train Technology Market :

  • Based on train type, the passenger train segment generated the highest revenue in the autonomous train technology industry in 2018.
  • Asia-Pacific is anticipated to exhibit the highest CAGR during the autonomous train technology market forecast period.
  • Middle East leads the market in the LAMEA region.

The key players profiled in the autonomous train technology market share include Alstom S.A., ABB, Bombardier Transportation, CRRC Transportation, General Electric, Hitachi Ltd., Kawasaki Heavy Industries, Mitsubishi Heavy Industries, Siemens AG., and Thales Group.

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quote Autonomous Train Technology Market by Grade of Automation (GOA 1, GOA 2, GOA 3, and GOA 4), Train Type (Passenger Train and Freight Train), Technology (CBTC, ETRMS, ATC, and PTC), and Component (Camera, Accelerometer, Odometer, Tachometer, Radio Set, and Others): Global Opportunity Analysis and Industry Forecast, 2019–2026 quote

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