Freight Cars Market
Market Insights on Freight Cars covering sales outlook, demand forecast & up-to-date key trends
Freight Cars Market By Product, Sales Channel, End use Industries & Region | Forecast 2023 to 2033
Freight Cars Market Snapshot 2023 to 2033
The global Freight Cars market is expected to witness a market value of US$ 153.72 Billion in 2023 and is expected to accumulate a market value of US$ 265.08 Billion by registering a CAGR of 5.6% in the forecast period 2023 to 2033. The market for Freight Cars market registered a CAGR of 2.1% in the historical period 2018 to 2022. Factors such as supportive government schemes as well as upcoming projects for railway networks are expected to fuel the growth of the freight cars market over the analysis period.
As per Future Market Insights – market research and competitive intelligence provider, the global market value for Freight Cars has been flourished. Government initiatives are anticipated to accelerate the market growth. For instance, the Indian government think tank Niti Aayog, in September 2021, launched the "Shoonya" initiative, which aims to fully electrify fleet vehicles in the urban freight sector by 2023, as part of a massive effort to escalate the adoption of electric vehicles, and build an ecosystem for them in the country. Hence, the steps taken by the government to increase rail freight are likely to increase the demand for freight cars in the near future.
Additionally, digitalization in the existing freight car network, oil & gas extensively using rental services for oil tank, growth in end-user industries, for instance, steel, agriculture, automotive, construction, oil & gas, among others, and trade agreement among countries are other major factors that are expected to stimulate the growth of the freight cars market during the forecast period.
Moreover, technological advancements in the freight cars, such as the GPS tracking enabled freight cars is another major factor that is likely to stimulate the market growth in the coming time. Also, the efficiency of freight car transport is expected to be boosted with the use of advanced GPS technologies. The rail operators have been incorporating GPS technologies into freight cars, which in turn aids in managing the transport process, scheduling freight cars, maintaining a consistent delivery process, as well as reducing freight car theft.
For instance, the Indian Railways, in June 2022, began real-time monitoring of trains (passenger and freight), with utilizing the Control Office Application (COA) system. The COA was designed by ISRO after collaborating with the Indian Railways, in order 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.
On the regional end, the freight cars market in Asia Pacific is expected to account for the maximum share during the analysis period, attributed to the factors such as growing end-use industries, and rising demand from the agriculture as well as the automotive industries.
On the other hand, European freight cars market is expected to hold a significant growth rate over the forecast period, owing to factors such as rapidly growing digitalization in automatic railway network lines, and increasing government investment and initiative activities in the region.
For instance, the United Kingdom government launched a velocity improvement initiative in 2019, that continuously analyzes the freight services, and focuses on commodity and flow in close collaboration with freight operators. Thus, the steps taken by the United Kingdom government to increase the rail freight is anticipated to boost the regional growth.
Recent developments in the technology, mergers and acquisitions, and partnerships within the companies involved in the designing of Freight Cars are expected to create lucrative opportunities for the market growth over the analysis period.
For instance, Sojitz Corporation, a Japan-based manufacturing company specializing in the trading of goods and services, in March 2021, acquired Southwest Rail Industries Inc. for an undisclosed amount. Through this acquisition, Sojitz increases its capability in order to deliver excellent customer service, prompt responses, the capacity to customize leases to meet customers' needs, expand railway services in North America, and decarbonization as well as sustainability.
Freight Cars Market: Dynamics
Supportive government schemes and upcoming projects specifically for railway networks are expected to boom the global value of the freight cars market by the end of 2029. Furthermore, a trade agreement among countries like India and Turkmenistan to supply commodities from one country to another is projected to fillip the demand for freight cars market over the stipulated period.
Moreover, some end-users such as oil & gas are also using rental services for oil tank which is also stimulating the demand for new freight cars over the assessment period. Moreover, growth in end-user industries, for instance, steel, agriculture, automotive, construction, oil & gas, among others are likely to drive the demand 0f freight cars over the coming decades.
Growing other modes of cargo transportation by sea, road, and the air is expected to hamper the global demand of the fright car market over the coming years. Furthermore, lack of proper railway networks in some countries or cities is likely to create headwinds for the growth of the global freight cars market over the slated period.
Leading manufacturer are focused to make lightweight and high efficient freight cars with intends to make aisle brand image across the world. Furthermore, digitalization in the existing fright car network is also foreseen as eye-catching trend in the global market.
Before 19th-century freight cars are completely made by woods but now day entire wood made fright cars have been replaced by steel made freight cars due to high strength and long-lasting. Fright cars are also known as goods wagon designed to transport commodities such as cargo, colas, grains, oil & gas, among others.
Mainly four types of freight cars are using across the world; open-top car, boxcar, flatcar, tank car. Commonly, open-top freight cars used to transport materials such as coal, gravel, and grain. Boxcars are a type of enclosed car and use for two applications for refrigerated products and transport of livestock like cattle, sheep, and others.
While flat cars are majorly used to transport heavy machinery and military equipment. Although, the variety of fright cars are not limited up to the aforementioned types of the manufacturer are changing the design as per demand.
Due to seeing demand and changing in technology, North America developed an efficient model of freight cars such as a piggyback car, multistory cars to supply of automotive vehicles in two of three partitions in one box. Tank cars can be foreseen as special category fright cars to carry a variety of liquids and industrial chemicals.
Freight cars provide efficient way over transportation of goods or cargo by trucks because this larger scale result decreased transportation costs and required less manpower and energy to haul the same amount of cargo. Therefore, the growth of the global freight car market is expected to lucrative over the coming span of years.
Freight Cars Market: Regional Outlook
Asia Pacific region is projected to grow with a healthy growth rate in the global freight car market owing to growing end-use industries in the future. In China, nearly 840 thousand units have been sold and these sales also expected to continue over the coming years.
Europe is expected to hold a paramount share in the global market due to rising demand form the agriculture and automotive industry over the coming decades. Rapidly digitalization in automatic railway network lines in the Middle East & Africa which in turn is projected to stimulate the sales of freight cars demand over the coming decades.
Latin America pegged to grow at the uptick growth rate in the global freight cars market owing to inadequacy in the heavy cargo load cars. Albeit, upcoming projects, and growth in the agriculture industry are promising to shape up the regional demand for freight cars market over the stipulated period.
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Freight Cars Market: Key Participants
Some of the market participants in the Freight Cars market identified across the value chain:
- Caterpillar Inc.
- Wabtec Corporation
- Diesel Plant LLC
- Kawasaki Group
- Amsted Rail Group
- Echelon Solutions Group
- Sumitomo Corporation
- Union Pacific Railroad
The research report on the Freight Cars market presents a comprehensive assessment, and contains thoughtful insights, facts, historical data, and statistically supported and industry-validated market data. The Freight Cars market report also contains projections using a suitable set of assumptions and methodologies. The report provides analysis and information according to mentioned market segments.
The report covers exhaustive analysis on
- Freight Cars Market Segments
- Freight Cars Market Dynamics
- Freight Cars Market Size
- New Sales of Freight Cars
- Current Trends/Issues/Challenges in the Freight Cars Market
- Competition & Companies Involved in Freight Cars
- New Technology for Freight Cars
- Value Chain of the Freight Cars Market
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Regional analysis includes
- North America (USA, Canada)
- Latin America (Mexico, Brazil)
- Western Europe (Germany, Italy, France, United Kingdom, Spain)
- Eastern Europe (Poland, Russia)
- Asia Pacific (China, India, ASEAN, Australia & New Zealand)
- Middle East and Africa (GCC Countries, S. Africa, Northern Africa)
The global Freight Cars market report is a compilation of first-hand information, qualitative and quantitative assessment by industry analysts, and inputs from industry experts across the value chain.
The report provides in-depth analysis of parent market trends, macro-economic indicators, and governing factors, along with market attractiveness as per segment. The report also maps the qualitative impact of various market factors on market segments and geographies.
Freight Cars Market: Segmentation
- Open top car
Sales Channel :
- Factory fit
- Wheel sets
- Side frame
- Suspensions units
- Bearing & gears
End use Industries :
- Automotive & Transpiration
- Oil & Gas
- Medical & pharmaceuticals
- Food & beverages
- Government & defense
Table of Content
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