Railway Maintenance Machinery Market Expected to Reach $7.6 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Railway Maintenance Machinery Market," The railway maintenance machinery market size was valued at $4 billion in 2021, and is estimated to reach $7.6 billion by 2031, growing at a CAGR of 6.6% from 2022 to 2031. Railway maintenance machineries are used to maintain railway tracks to operate transportation and logistics in a smooth and effective manner. Thus, this helps in improving the productivity of logistics .

Increase in construction of new rail projects positively impacts the railway maintenance machinery market growth. For instance, the Iraqi government spent around $2.5 billion on a new railway project named as Baghdad Metro. The railway project is likely to be completed by 2025. In addition, rise in number of railway electrification projects, owing to carbon emission reduction targets, is anticipated to lead to the expansion of the railway maintenance machinery industry.

Further, several governments are focusing on developing carbon emission free railway lines, which in turn is estimated to cater to the growth of the railway maintenance machinery market. Business houses prefer using the railway traveling mode for efficient freight transportation. Moreover, according to International Energy Agency (IEA), approximately 7% of the global freight transportation and logistics occurs through railway network. Furthermore, metro system provides cheap and convenient urban transportation in around 200 cities globally, thereby propelling the growth of the market.

A growing usage of cloud-based, internet, and internet of things (IoT) services to increase operational efficiency of the entire maintenance process is expected to lead to the development of the railway maintenance machinery market share. In addition, one of the most important aspects of adopting IoT is preventive maintenance in railway machinery.

However, high costs associated with tamping machine is anticipated to hamper the growth of the railway maintenance machinery market. On the other hand, technological innovation in the railway maintenance machinery is expected to offer remunerative opportunities for the railway maintenance machinery manufacturers.

COVID-19 is a disease caused by a newly discovered virus named Coronavirus. Many people are suffering from this disease globally. During lockdowns implemented in countries such as the U.S., China, and Brazil due to the COVID-19 pandemic, various major players in the global railway maintenance machinery market had to stop their factory production. This break in business activities has directly impacted the sales of the industry manufacturers. For instance, Alstom SA registered a decline of 17.7% in revenue in September 2020. In addition, lack of man power and raw material had halted the supply chain of railway maintenance machineries. However, the introduction of vaccines for coronavirus disease and re-initiation of production facilities is anticipated to provide lucrative opportunities for the market players.

Region wise, the global railway maintenance machinery market analysis is conducted across North America (the U.S., Canada, and Mexico), Europe (the UK, France, Germany, Italy, and rest of Europe), Asia-Pacific (China, Japan, India, South Korea, and rest of Asia-Pacific), and LAMEA (Latin America, the Middle East, and Africa). Europe is expected to dominate the market throughout the study period.

The major players profiled in the railway maintenance machinery market report include China Railway Construction Corporation Limited (CRCC High-Tech Equipment Co. Ltd), China State Railway Group Co. Ltd. (Gemac Engineering Machinery Co. Ltd.), System 7- Railsupport GmbH, Harsco Corporation, MER MEC S.p.A., Geatech Group Srl, Plasser & Theurer, Export von Bahnbaumaschinen, Gesellschaft m.b.H.., Sinara-Transport Machines Holding, Fluor Corporation (American Equipment Company, Inc.), and Coril Holdings Ltd. (Loram Maintenance of Way, Inc.).

 KEY FINDINGS OF THE STUDY

•        The report provides an extensive analysis of the current and emerging global railway maintenance machinery market trends and dynamics. 

•        Depending on product type, the tamping machine segment was the largest revenue generator in 2021.

•        By application, the ballast track segment generated the highest revenue in 2021.

•        By sales type, the aftermarket sales segment generated the highest revenue in 2021.

•        Region wise, Europe is anticipated to dominate the global railway maintenance machinery market throughout the study period.

•        The global railway maintenance machinery market forecast analysis from 2022 to 2031 is included in the report.