PUBLISHER: The Business Research Company | PRODUCT CODE: 1712461
PUBLISHER: The Business Research Company | PRODUCT CODE: 1712461
Freight cars are a category of railroad cars, rolling stock, or motor vehicles specifically engineered for the transportation of various goods, including cargo, food grains, oil, minerals, and other commodities, along a rail transport system. They are designed to efficiently move large quantities of goods to destinations both near and far.
The primary types of freight cars covered in this report include intermodal cars, tank wagons (designed for gases and liquids), and general freight cars. These freight cars can be further categorized by their application, serving industries such as coal, petroleum and chemicals, metals and minerals, automobiles, agricultural products, and various other applications. Additionally, they are segmented by their end-use industries, encompassing agriculture, construction, oil and gas, chemical, medical and pharmaceuticals, food and beverages, government and defense, automotive and transportation, as well as marine transport.
The freight car market research report is one of a series of new reports from The Business Research Company that provides freight car market statistics, including freight car industry global market size, regional shares, competitors with a freight car market share, detailed freight car market segments, market trends and opportunities, and any further data you may need to thrive in the freight car industry. This freight car market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The freight cars market size has grown strongly in recent years. It will grow from $191.27 billion in 2024 to $202.38 billion in 2025 at a compound annual growth rate (CAGR) of 5.8%. The growth in the historic period can be attributed to supportive government schemes, upcoming projects for railway networks, digitalization in the existing freight car network, growth in end-user industries and trade agreements among countries.
The freight cars market size is expected to see steady growth in the next few years. It will grow to $242.35 billion in 2029 at a compound annual growth rate (CAGR) of 4.6%. The growth in the forecast period can be attributed to increasing government investment, increased transportation activities, increase in road accidents or casualties resulting in car damage, future fleet management practices for freight businesses and prioritization of fleet maintenance over purchasing new vehicles. Major trends in the forecast period include advancements in technology, increasing focus on sustainability, focus on reducing carbon emissions, increasing adoption of automation and product developments.
Government initiatives are expected to drive the growth of the freight car market. For example, in August 2024, the Office of the Principal Scientific Adviser, a government body in India, introduced several initiatives to promote the adoption of Zero Emission Trucks (ZETs), focusing on electric and hydrogen-based fuel technologies. These measures aim to enhance energy security, reduce fuel import costs, and lower overall logistics expenses. As a result, government efforts to boost rail freight are anticipated to increase demand for the freight car market during the forecast period.
The global economic growth is expected to accelerate the car freight market in the coming years. Economic development is fueled by investments in infrastructure, technology, capital goods, innovation, consumer spending, and other factors. The car freight industry is crucial for economic growth, facilitating the efficient movement of goods, creating jobs, optimizing supply chains, and boosting trade. It contributes to the economy by supporting businesses, increasing market access, and fostering infrastructure development. For example, in September 2023, the India Brand Equity Foundation (IBEF), an India-based trust established by the Department of Commerce, Ministry of Commerce and Industry, reported that strong economic growth in the first quarter of FY23 helped India surpass the United Kingdom, becoming the fifth-largest economy. Following a recovery from the COVID-19 pandemic, India's real GDP for Q2 2022-23 was estimated at US$ 1.94 trillion, marking a 7.2% growth compared to the previous year's US$ 1.81 trillion. This demonstrates India's promising economic revival post-pandemic. Therefore, the growing economy continues to drive the growth of the car freight market during the forecast period.
Freight cars are now enabled with GPS tracking and this is likely to be an emerging trend in the freight car market. The efficiency of freight car transport will be augmented with the use of advanced GPS technologies. Rail operators' incorporation of GPS technologies into freight cars aids in managing the transport process, scheduling freight cars, maintaining a consistent delivery process, and reducing freight car theft. For instance, in June 2022, Indian Railways began real-time monitoring of trains (passenger and freight) using the Control Office Application (COA) system. The COA was designed by ISRO after collaborating with the Indian Railways to monitor the movement of freight cars even between two stations with GPS. Therefore, the demand for freight cars is expected to be increased with the incorporation of certain criteria such as real-time data and on-time deliveries.
Major companies operating in the freight cars market are introducing IoT solutions such as application of Globehopper and Edge telematic sensors in the freight cars and containers to gain a competitive edge in the market. The Globehopper Edge represents a self-sustaining wireless connectivity device that requires no maintenance and has the capability to transmit an extensive volume of data daily. This data originates from numerous onboard sensors, providing vital information about cargo within a container, including precise location, temperature, environmental conditions, and more. For instance, in May 2023, Nexxiot, a US-based technology provider for the transportation sector, launched an Artificial Intelligence-baesd app known as Globehopper Edge. By integrating cutting-edge sensors, gateways, and global connectivity, the Globehopper Edge stands as the most advanced cargo monitoring device globally. It not only offers current capabilities but also positions itself for the future, promising our customers the most precise and dependable cargo information available, guaranteeing unmatched accountability across all shipping modes.
In July 2024, Texmaco Rail & Engineering, a railway company based in India, acquired Jindal Rail Infrastructure Ltd. for 0.074 billion. This acquisition is intended to bolster Texmaco's position in the railway industry by improving its manufacturing capabilities and expanding its rail infrastructure portfolio. Jindal Rail Infrastructure Ltd. is an India-based company specializing in freight car solutions.
Major companies operating in the freight cars market include Canadian National Railway, DB Schenker, SBB Cargo AG, Union Pacific Railroad, Kansas City Southern, CSX Corporation, Norfolk Southern Corporation, Housatonic Railroad Company, Linfox Pty Ltd, Trinity Rail Group LLC, Greenbrier Companies, National Steel Car Ltd., American Railcar Industries Inc., FreightCar America Inc., The Andersons Rail Group, GATX Corporation, Union Tank Car Company, Trinity Industries Inc., CIMC Railcar, GB Railfreight, CRRC Corporation Limited, CSR Corporation Limited, Bombardier Inc., Siemens Mobility, Alstom, Stadler Rail AG, Kawasaki Heavy Industries Ltd., Hitachi Rail Italy SpA, Hyundai Rotem Company, Talgo Group, Newag SA, Skoda Transportation AS, CRRC Changchun Railway Vehicles
Asia-Pacific was the largest region in the freight cars market in 2024. North America was the second largest region in the freight cars market. The regions covered in the freight cars market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the freight cars market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain
The freight car market consists of sales of covered wagons, cargo beamers, and flat cars. Values in this market are factory gate values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Freight Cars Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on freight cars market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for freight cars ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The freight cars market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.