Freight Railcar Parts Market Trends

The market for Freight Railcar Parts was estimated to be valued at US$ XX Mn in 2021.

The Freight Railcar Parts Market is estimated to grow at a CAGR of XX% by 2028.

The Freight Railcar Parts Market is segmented on the basis of type, Distribution channel, Component, Region.

Based on region, the Freight Railcar Parts Market is segmented into North America, Europe, Asia Pacific, Middle East & Africa and Latin America.

The key players operating in the Freight Railcar Parts Market are ends , Freight Railcar Parts Market size exceeded USD 10,009.9 million in 2021 and is estimated to exhibit nearly 4.8% CAGR from 2022 to 2030. The expansion of freight train fleet scope and improving business productivity in large & dense cities globally will encourage the demand. The movement of huge volumes of goods will not only decrease congestion but also save valuable space and generate broader economic benefits such as agglomeration effects. , According to the International Union of Railways (UIC), freight & passenger revenues witnessed a loss of about USD 120 billion in 2020 & 2021 combined due to government-imposed restrictions and lockdowns. Major restrictions on services and citizen movements have resulted in a decline in rail passenger volume by roughly 80% during the lockdown period globally. For freight operations, the predicted volume loss ranged between 10% and 15% for most of the operators. These trends significantly delayed new orders & ongoing projects and negatively influenced the product demand in 2020; however, the market is likely to rebound with the normalization of regular railway services. , Growth Drivers:Rising demand for railcar and increasing production Developments in the Asia Pacific railway industry Demand for railcar parts increasing due to replacement cyclePitfalls & Challenges:REnergy-efficient and environmental manufacturing norms Fluctuating raw material prices , Rising transportation of agriculture goods will drive the freight railcar parts market growth , The covered hopper type segment will account for around USD 4.5 billion in freight railcar parts market by 2030. The increasing transportation of bulk commodities by train will boost the segment growth. According to the Japan Association of Rolling Stock Industries (JARi), in 2020, 26% of the freight rail cars were used for the transportation of agriculture and foodstuff goods. , The rising demand for high-speed freight trains , The OEM segment from freight railcar parts industry is projected to reach about USD 4.5 billion by 2030. Development is attributed to the growing demand for high-speed freight trains across developed economies along with an increasing scope for new cargo trains. Moreover, long-standing partnership with freight railcar manufacturers coupled with purchase agreements, bulk orders and after-sales services will further strengthen the segment progress. , The demand for new railcar parts is credited to both the incremental growth of the fleet and the replacement of old cars. The industry has recently been building new tank cars and hoppers for the transportation of goods. However, given a constant rail traffic, railcars wagons are needed to be exchanged as they are not efficient and can lead to accident. Additionally, the Federal Railroad Administration (FRA) & the Association of American Railroads (AAR) has limited the revenue service lives of railcars to 50 years and most rail cars retire for economic reasons long before their age, which will positively impact the freight railcar parts market demand. , The tank cars segment to hold a substantial market share , The tank cars segment is poised to register gains of over 5% through 2030. Tank cars are used in the transportation of liquid commodities such as chemicals, molasses, edible tallow, water, diesel fuel, and ethanol. They differ from non-pressurized and pressurized tank cars. Non-pressurized tank cars are designed to transport all types of liquid materials from food-grade to hazardous liquid. On the other hand, few are even equipped with thermal protection and insulation. , North America to observe prominent growth , North America freight railcar parts market will acquire more than 35% of the revenue share by 2030 led by expanding regional freight rail connectivity. The freight railway sector showed its resilience by efficiently handling the volatility and uncertainty presented by the COVID-19 epidemic. Furthermore, increasing R&D investments in the development of new material railcar parts together with technological advancements will significantly augment the regional industry statistics. , The freight railcar parts industry to be highly competitive , Some of the major freight railcar parts market players are FreightCar America Inc., Penn Machine Company, Greenbrier Companies, Trinity Industries Inc., Wabtec Corporation, New York Air Brake LLC, Progress Rail, and Amsted Rail. , The industry is highly competitive with the presence of several regional & country-level manufacturers and suppliers. The key players accounted for approximately half of the overall industry share. Major freight railcar parts manufacturers are engaged in partnerships with freight wagon producers or railway operators to gain a competitive edge in comparison to other companies. With an increasing demand for freight wagons, many players are investing in the expansion of manufacturing facilities to gain a modest advantage. , KEY MARKET SEGMENTS , By type , Autocar , Box Car , Center Beam , Covered Hopper , Coil Car , Flat Car , Gondola , Open to Hopper , Refrigerant Boxcar , Tank cars , Others , By Distribution channel , OEM , Aftermarket , By Component , Gears , Wheels, Axles and Bearings , Side Frames , Draft Systems , Couplers & Yokes , Airbrakes , Others , By Region , North America , Europe , Asia Pacific , Latin America , Middle East & Africa.