Market Trends of Rail Components Industry
This section covers the major market trends shaping the Rail Components Market according to our research experts:
Bogie Segment to Witness the Fastest Growth During Forecast Period
The bogie segment in the rail components market is expected to hold the largest market share during the forecast period, owing to the growing adoption of powered bogie design across the world. Thus, many locomotives, multiple units, such as high-speed trains, and mass transit vehicles (suburban trains, metro cars, light rail vehicles, and tramways) are equipped with powered bogies.
Rail bogies have had seen investment in research and development in recent years. Companies have been focusing on creating safe and efficient bogie designs for locomotives by embedding digital devices that work on the principle of the Internet of Things (IoT).
The Global Railway Engineering Pty Limited showcased its Scheffel Self Steering innovation in the Rail Tech Innovation Awards. It is a three-part self-steering bogie suitable for all rail systems that work with a three-part bogie. According to the manufacturer, their innovation offers fuel-saving, and there are fewer chances of derailment in the component.
OEMs like Siemens introduced innovations in their products like elastic wheel fitting on their lxege LRV bogies developed to improve the squealing noise performance by up to 90 percent. The company has been developing variable height bogies operating on 1000mm and 1435 mm tracks.
Companies like Alstom and Magma Structures have formed consortiums with institutes like the University of Birmingham to work on various projects concerning Train Bogies. One of the projects is CaFiBo - Carbon Fibre Bogie Project. The project aims to reduce the mass of the bogie and reduce track damage and vehicle maintenance costs by employing a lightweight composite bogie frame. Such innovations through collaborations are creating opportunities for more improvements in the global bogie rail component segment.
Asia-Pacific Region Likely to Dominate the Market
Asia-Pacific is expected to witness the fastest growth rate during the forecast period. In Asia-Pacific, India is one of the largest and fastest-growing markets for railway components after China. India is making investments in rolling stock to upgrade its rail transportation system. Owing to the growth in population, intercity trade and commuting, upcoming metro projects (13 operational, six under construction, seven in planning stage, and eight in proposed stage), and extension of existing lines, the Indian rolling stock market is witnessing a steady growth.
The government's Make in India initiative laid particular emphasis on promoting manufacturing activities within the country. This is expected to drive the market for rail components in India. China is one of the key contributors to developing regional growth in the rail component market due to large-scale rapid urban transit development. Chinese major market player CRRC is the leading manufacturer of rolling stocks and related rail components, occupying 39% of the market share.
For instance, in January 2020, CRRC received an overseas supply contract worth USD 55.5 from Portugal to supply 18 new light rails with a maintenance period of five years. Japan is the technology leader in the rolling stock market, which is majorly used for passenger transportation. The country is continuously investing in the development of innovative technologies in rolling stock.
