Locomotive Market

Locomotive Market Size:

The global locomotive market size reached US$ 22.3 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 46.7 Billion by 2032, exhibiting a growth rate (CAGR) of 8.55% during 2024-2032. The increasing urbanization and industrialization, rising technological advancements, and growing investments in high-speed rail networks and railway modernization projects are some of the major factors propelling the market growth.

Locomotive Market Analysis:

• Major Market Drivers: Increasing urbanization and rising adoption of advanced technologies are some of the major market drivers.
• Key Market Trends: The increasing preference for electric locomotives is one of the key market trends.
• Geographical Trends: Asia Pacific holds the largest share in the market. This is due to infrastructure development and rising government initiatives.
• Competitive Landscape: Alstom SA, Brookville Equipment Corporation, CJSC Transmashholding, and CRRC Corp Ltd. are some of the key market players.
• Challenges and Opportunities: The growing regulatory requirements pose a challenge for the market. The opportunity lies in the rising technological integration.
   

Locomotive Market Trends:

Rising demand for electric locomotive

As pulling trains requires far more force than pulling other vehicles, large-scale investments are a need. Recent innovation in locomotive technology focuses on the design and structure to increase pulling capability and simultaneously reduce wastage of fuel. Increasing investment in the railway sector is by the proportion of passengers that it can carry. The extensive railways in densely populated nations such as India would provide many potential prospects for industry players. The presence of multiple large-scale locomotive companies will boost market growth. In February 2023, Delhi Metro's first indigenously constructed Train Control and Supervision System (TCSS) was introduced. The system, developed in conjunction with Bharat Electronics Limited (BEL), would replace the current train control and signaling technology. The indigenously developed TCSS features advanced capabilities such as autonomous train operation, protection, and remote diagnostics. With increasing traffic congestion in cities worldwide, there is a strong need to develop faster, more efficient, and reliable transportation systems.

Increasing traffic congestion and environmental concerns

The demand for automobiles has increased over the past few years due to a growing population level, which has clogged highways with traffic. Traffic congestion has been associated with various health problems, including back injuries, whiplash injuries, and stress-related illnesses. Many rail projects are being launched in cities to promote comfortable commuting, and rail networks in many regions are expanding rapidly. Furthermore, individuals choose rail transit more than ever before due to rising automotive emissions, increased safety concerns, and a growing need for shorter trips. Moreover, governments worldwide are investing in the development of high-speed trains and working to extend railway networks. This, in turn, is expected to significantly contribute to the market growth over the locomotive market forecast period.

Growing investments in advanced locomotive technologies

Increasing investments in new locomotive technologies, such as high-speed rail and electric/hybrid locomotives, aimed at reducing carbon emissions and promoting sustainable transportation, have significantly boosted the locomotive market outlook. For instance, in November 2021, Wabtec Corp signed a contract with Egyptian National Railways (ENR) to provide 100 ES30ACI Evolution Series locomotives as well as a comprehensive, multi-year service agreement for continuous fleet maintenance. The locomotive supply deal, which is financially supported by the European Bank for Development and Reconstruction, demonstrates their commitment to supplying the necessary funds for this large project.

Locomotive Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2024-2032. Our report has categorized the market based on component, type, technology, and end use.

Breakup by Component:

• Rectifier
• Inverter
• Traction Motor
• Alternator
• Others
   

Rectifier dominate the market

The report has provided a detailed breakup and analysis of the market based on the component. This includes rectifier, inverter, traction motor, alternator, and others. According to the report, rectifier represented the largest segment.

By component, the rectifier segment is contributing significantly to the locomotive market recent developments. The increasing demand for electric locomotives to convert AC to DC power for DC traction motors is driving the segment's growth. Furthermore, the growing demand for more efficient and dependable power conversion solutions contributes to lower energy consumption and operational costs for locomotives. Moreover, regulatory norms in many countries mandate energy-efficient solutions, thereby encouraging the use of high-performance rectifiers. They contribute to the stability and smooth functioning of electrical systems by minimizing power fluctuations.

Breakup by Type:

• Diesel
• Electric
• Others
   

Electric holds the largest share in the market

A detailed breakup and analysis of the market based on the type have also been provided in the report. This includes diesel, electric, and others. According to the report, the electric accounted for the largest market share.

By type, the electric segment dominates the locomotive industry. This segment's growth is attributed to the increased emphasis on environmental sustainability by public and private manufacturers. Electric locomotives emit fewer pollutants and greenhouse gases than conventional locomotives. Thus, with a growing preference for electric transportation and the utilization of renewable resources, the category is expected to expand significantly throughout the projection period. Furthermore, governments and regulatory organizations are increasingly concerned about providing a boost to the usage of electric locomotives as part of their efforts to battle climate change, which is helping to contribute to the locomotive market overview.

Breakup by Technology:

• IGBT Module
• GTO Thyristor
• SiC Module
   

IGBT module holds the maximum share in the market

A detailed breakup and analysis of the market based on the technology have also been provided in the report. This includes IGBT module, GTO thyristor, and SiC module. According to the report, the IGBT module accounted for the largest market share.

The IGBT module segment holds the largest locomotive market share, and is expected to be the fastest-growing segment in the coming years. This is due to the increasing use of lightweight IGBT modules in electrical and diesel train systems. IGBTs are widely employed in long-distance freight and passenger transportation. They include three terminals: collector, emitter, and gate. The use of IGBT modules improves the dependability and longevity of electric drive systems in locomotives, lowering maintenance costs and downtime. Their compact and lightweight design makes it easier to integrate into existing electrical systems.

Breakup by End Use:

• Freight
• Passengers
• Others
   

Freight holds the biggest share in the market

A detailed breakup and analysis of the market based on the end use have also been provided in the report. This includes freight, passengers, and others. According to the report, freight accounted for the largest market share.

The freight segment dominates the market, offering numerous locomotive market recent opportunities. This segment's growth is driven by the rise in the e-commerce industry. The locomotive industry is primarily driven by economic expansion, global trade, energy efficiency, cost savings, capacity and scale benefits, intermodal transportation, infrastructure development, and safety considerations. Furthermore, the demand for efficient, dependable, and cost-effective freight transportation solutions helps to drive the segment's expansion. In the freight sector, locomotives are commonly used to haul various types of cargo, ranging from raw materials like coal, iron ore, and agricultural produce to finished goods such as automobiles, machinery, and consumer products.

Breakup by Region:

• North America
  • United States
  • Canada
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Others
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

Asia Pacific leads the market, accounting for the largest locomotive market share

The market research report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Europe (Germany, France, the United Kingdom, Italy, Spain, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, Asia Pacific represents the largest regional market for locomotive.

As per the locomotive market report, Asia-Pacific is expected to have the biggest market share over the projection period. The huge transport business, as well as the increasing number of railway passengers and train travel, are expected to generate numerous prospects for regional companies. Furthermore, the railway is the most popular mode of transportation among travelers in major Asian economies such as China, India, and Japan. These three countries rank first in passenger kilometers annually and are home to major locomotive manufacturers. Japan is one of the most prominent countries to use autonomous trains. Japan began testing its E7 series Shinkansen bullet trains in 2022, with the goal of deploying such driverless trains shortly. The East Japan Railway Co. anticipates such trains will decrease human labor, save time and money, and increase safety. These are some of the factors that will drive the locomotive demand.

Competitive Landscape:

The market research report has provided a comprehensive analysis of the competitive landscape. Detailed profiles of all major companies have also been provided. Some of the key players in the market include:

• Alstom SA
• Brookville Equipment Corporation
• CJSC Transmashholding
• CRRC Corp Ltd.
• CZ LOKO, A.S.
• Hyundai Rotem Company (Hyundai Motor Group)
• Siemens Mobility GmbH (Siemens AG)
• Stadler Rail AG
• Strukton Rail B.V. (Strukton Groep n.v.)
• Toshiba Infrastructure Systems & Solutions Corporation
• Wabtec Corporation
   

(Please note that this is only a partial list of the key players, and the complete list is provided in the report.)

The locomotive market is dominated by several key players which are contributing significantly to the locomotive market revenue. The companies are expanding their presence by acquiring other players, forming strategic alliances with other key players in the market, and launching advanced locomotives. For instance, in November 2022, Alstom, in collaboration with Dutch infrastructure management ProRailand Belgian rail freight operator Lineas, exhibited the maximum level of automation on a shunting locomotive in Breda, the Netherlands. This level of automation, known as GoA4, entails completely automated starting, driving, halting, and dealing with unexpected obstructions or incidents without the direct involvement of any on-train personnel during shunting tasks.

Locomotive Market News:

• April 26, 2024: Alstom SA, a global leader in smart and sustainable mobility, has signed a Memorandum of Understanding with Tåg i Bergslagen (TiB), train operator in the Bergslagen area, Sweden.
• April 23, 2024: Brookville Equipment Corporation announced the rehabilitation and upgrade of the existing plane mate and mobile lounge vehicles at Washington Dulles International Airport (Dulles International).
• February 8, 2024: CRRC Corp Ltd. announced the start of the trail operation of Qingyuan Maglev Tourist Line. The train of this line uses a new generation medium and low-speed maglev train platform, constant conductive electromagnetic levitation technology, and vehicle-mounted short stator linear motor traction technology, with a maximum operating speed of 120km/h.

Locomotive Market Report Scope:

Key Questions Answered in This Report:

• How has the global locomotive market performed so far, and how will it perform in the coming years?
• What are the drivers, restraints, and opportunities in the global locomotive market?
• What is the impact of each driver, restraint, and opportunity on the global locomotive market?
• What are the key regional markets?
• Which countries represent the most attractive locomotive market?
• What is the breakup of the market based on the component?
• Which is the most attractive component in the locomotive market?
• What is the breakup of the market based on the type?
• Which is the most attractive type in the locomotive market?
• What is the breakup of the market based on the technology?
• Which is the most attractive technology in the locomotive market?
• What is the breakup of the market based on the end use?
• Which is the most attractive end use in the locomotive market?
• What is the competitive structure of the market?
• Who are the key players/companies in the global locomotive market?

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the locomotive market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the global locomotive market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the locomotive industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.