Global Locomotive Market – Industry Trends and Forecast to 2030

Global Locomotive Market, By Operational Engine (Station Pilot, Banking Engine, Pilot Engine, Others), Technology (IGBT Power Module, GTO Thyristor Module, SiC Power Module), Locomotive Technology (Turbocharged, Maglevs, Conventional Locomotive), Motive Power (Gas Turbine Electric, Steam Diesel Hybrid, Diesel, Atomic Electric, Steam, Fuel Cell Electric, Electric, Gasoline, Hybrid), Components (Traction, Inverter, Alternator, Rectifier, Auxiliary Power Conversion Unit), Rolling Stock Type (DMU, EMU, Diesel and Electric Locomotive), Application (Passenger, Freight, Switcher Locomotives) - Industry Trends and Forecast to 2030.

Locomotive Market Analysis and Size

The rise in the demand for fuel efficient among growing concerns for the environment is a crucial factor accelerating the market growth, also rising demand for advanced power components and modernization in the market leading to lower weight locomotives, rise in demand for rolling stock that is energy efficient, continuous expansion of rail networks infrastructure, rising technological progress such as launch of the SiC module, IGBT module and the auxiliary power units and rising traffic congestion are the major factors among others boosting the global locomotive market. Moreover, rising population, enhancing economies of developing countries, rising growth in industrial and mining activities, and increasing technological upgradation in locomotives, including e-mobility technology and data-driven maintenance services will further create new opportunities for global locomotive market in the forecast period of 2023 to 2030.

Data Bridge Market Research analyses that the global locomotive market which was USD 14.2 billion in 2022, is expected to reach at USD 33.5 billion by 2030, and is expected to grow at a CAGR of 2.74% during the forecast period of 2023 to 2030. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and pestle analysis.

Locomotive Market Scope and Segmentation

Market Definition

Locomotives are a type of railway vehicle that provides the motive power for trains, and they are a critical component of the transportation infrastructure for the movement of goods and passengers. This market encompasses a wide range of locomotive types, including diesel locomotives, electric locomotives, and increasingly, hybrid and battery-electric locomotives.

Global Locomotive Market Dynamics

Drivers

• Growing Demand for Freight Transportation

The increasing demand for freight transportation is a significant driver for the global locomotive market. As economies grow and trade expands, the need for efficient and cost-effective freight transportation options rises. Locomotives are a crucial component of this transportation system, offering the ability to move large quantities of goods over long distances. The global locomotive market benefits from this demand, as it provides solutions for transporting bulk commodities, such as coal, oil, and goods in containers, efficiently and sustainably.

• Environmental Sustainability and Energy Efficiency

The growing emphasis on environmental sustainability and energy efficiency is driving the adoption of modern locomotives. Governments and industries around the world are increasingly concerned about reducing carbon emissions and improving fuel efficiency. Locomotives that utilize advanced technologies, such as hybrid or electric powertrains, offer a more environmentally friendly alternative to traditional diesel locomotives. This shift towards cleaner and more efficient locomotives creates opportunities for manufacturers to meet these environmental regulations and market their products as eco-friendly solutions.

Opportunities

• Technological Advancements and Upgradation

Technological advancements, such as the integration of automation, artificial intelligence, and data analytics, offer new opportunities for the locomotive industry. Automation can enhance safety and operational efficiency, while data analytics can provide insights to optimize maintenance and performance. In addition, the development of high-speed locomotives can open up opportunities for passenger rail services, providing faster and more convenient transportation options. Locomotive manufacturers that invest in and adopt these technologies can gain a competitive edge in the market.

• Electrification of Rail Networks

The ongoing electrification of rail networks presents a significant opportunity for the locomotive market. Electrified tracks are more energy-efficient and environmentally friendly compared to diesel-powered locomotives. Governments and rail operators in various regions are investing in electrifying their rail networks to reduce emissions and operational costs. This shift towards electrification creates a substantial market opportunity for electric locomotive manufacturers, as they can provide solutions that align with this trend.

Restraints/Challenges

• High Initial Investment Costs

One of the primary challenges in the locomotive market is the high initial investment costs associated with manufacturing and purchasing locomotives. Locomotives are substantial capital expenditures, and for many rail operators, the upfront costs can be a barrier to entry or upgrading their fleets. Manufacturers and buyers must grapple with these high costs, which can limit market expansion and slow down the adoption of modern, more efficient locomotives.

• Competition from Other Transportation Modes

While locomotives are a crucial mode of transportation for freight and passengers, they face competition from other transportation modes, such as trucks, ships, and airplanes. Each mode has its advantages and disadvantages, and the choice often depends on factors like speed, distance, and cost. Locomotives may struggle to compete with faster transportation modes for time-sensitive deliveries. Overcoming this competition and ensuring that locomotives remain a competitive choice for various transportation needs is an ongoing challenge for the industry.

This  global locomotive market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the global locomotive market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

Recent Developments

• In October 2022, Union Pacific signed a partnership with ZTR to develop new hybrid-electric locomotives. Five more hybrid-electric locomotives are expected to be delivered in 2024. Union Pacific will replace one diesel locomotive with two locomotives, known as ‘mother-slug’ sets
• In September 2022, Siemens Mobility extended its partnership agreement with leasing rolling stock specialist Akiem. Under this agreement, Siemens Mobility will provide a supply of 65 Vectron AC and Vectron MS locomotives to Akiem. The trains contain a maximum power of 6.4MWs and attain a maximum speed of 200km/h or 230km/h providing fast freight and passenger services across several countries in Europe
• In July 2022, Wabtec Corp signed a contract with Union Pacific to modernize 600 locomotives. The contract was valued at USD 1 billion. The modernization of locomotives will improve fuel efficiency by up to 18%, increase reliability by more than 80%, boost haulage ability by more than 55%, and extend the life of the engines

Global Locomotive Market Scope

The global locomotive market is segmented on the basis of operational engine, technology, locomotive technology, motive power, components, rolling stock type and application. The growth among segments helps you analyse niche pockets of growth and strategies to approach the market and determine your core application areas and the difference in your target markets.

Operational Engine

• Station Pilot
• Banking Engine
• Pilot Engine
• Others

Technology

• IGBT Power Module
• GTO Thyristor Module
• SiC Power Module

Locomotive Technology

• Turbocharged
• Maglevs
• Conventional Locomotive

Motive Power

• Gas Turbine Electric
• Steam Diesel Hybrid
• Diesel
• Atomic Electric
• Steam
• Fuel Cell Electric
• Electric
• Gasoline
• Hybrid

Components

• Traction
• Inverter
• Alternator
• Rectifier
• Auxiliary Power Conversion Unit

Rolling Stock Type

• DMU
• EMU
• Diesel and Electric Locomotive

 Application

• Passenger
• Freight
• Switcher Locomotives

Global Locomotive Market Region Analysis/Insights

The global Locomotive market is analysed and market size, volume information is provided by country, operational engine, technology, locomotive technology, motive power, components, rolling stock type and application as referenced above.

The countries covered in the global locomotive market report are U.S., Canada and Mexico, Brazil, Argentina and Rest of South America as part of South America, Germany, Italy, U.K., France, Spain, Netherlands, Belgium, Switzerland, Turkey, Russia, Rest of Europe in Europe, Japan, China, India, South Korea, Australia, Singapore, Malaysia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC)  in the Asia-Pacific (APAC), Saudi Arabia, U.A.E., South Africa, Egypt, Israel, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA)

Asia-Pacific dominates the global locomotive market and is expected to be the fastest growing market in the global locomotive market during the forecast period of 2023 to 2030, due to improving socio-economic conditions in emerging economies such as China, India, and Japan, rising number of government projects such as extension of rail routes, rise in production of rolling stock, advanced rail infrastructure, and the replacement of power conversion systems for better efficiency in this region.

The country section of the locomotive market report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data

Competitive Landscape and Global Locomotive Market Share Analysis

The global locomotive market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, regional presence, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies’ focus related to global locomotive market.

The major players covered in the global locomotive market report are

• Strukton (Netherlands)
• Alstom (France)
• AEG Power Solutions B.V. (Netherlands)
• Siemens (Germany)
• TOSHIBA CORPORATION (Japan)
• CRRC (China Railway Rolling Stock Corporation)  (China)
• Hitachi, Ltd. (Japan)
• Bombardier (Canada)
• Bharat Heavy Electricals Limited (India)
• Wabtec Corporation (U.S.)
• Metso Corporation (Finland)
• Brookville Equipment Corporation (U.S.)
• Materfer – (Argentina)
• KONCAR - Electronics and Informatics Inc. (Croatia)
• Stucki Company (Switzerland)
• UGL Rail (Australia)
• Tata Motors (India)
• Kawasaki Rail Car, Inc. (U.S.)
• HYUNDAI ROTEM COMPANY (South Korea)
• Taiwan Rolling Stock Co., Ltd. (Taiwan)
• Stadler Rail AG (Switzerland)