Rail Market Growth Driven by Demand & Innovation

Sept. 19, 2016
InnoTrans, the international trade fair for rail technology, offered a look at the latest trends impacting global railway transportation and a glimpse of what the future holds.

Under the heading of “Mobility 4.0,” this year’s InnoTrans focuses on the latest trend impacting the industry: digitization.

InnoTrans is the international bi-annual trade fair for rail technology in Berlin, Germany. It is the leading international trade fair for rail transport technology and is subdivided into five segments:

  • Rail Technology
  • Railway Infrastructure
  • Public Transport
  • Interiors
  • Tunnel Construction

Mobility 4.0

The German Federal Minister of Transport and Digital Infrastructure Alexander Dobrindt said in a statement, “We are about to step into a historically new, innovative age of digitalization, data and connectivity.

“The overall climate is better than it has ever been and politically the path ahead has been set out: we are investing, modernizing and the digital transition is underway. We are laying the foundations to ensure that rail transport maintains its role as a leading innovative force and successfully enters the next phase, ‘Mobility 4.0,’ and the digital age of rail transport.”

The Association of the European Rail Industry (UNIFE) Director General Philippe Citroën presented information from the release of its World Rail Market Study, a forecast of 2016 to 2021. The good news, Citroën said, is that the market has grown. Compared to the last study done two years ago, the overall rail supply market has grown by 3 percent, driven primarily by the Asian Pacific region.

The highest growth rates have been in rolling stock and rail control, with 5.8 percent and 4.9 percent respectively.

The forecast for the rail supply market is continued growth at 2.6 percent per year and expected to reach approximately $207 billion per year between 2019 and 2021. The highest growth rates are expected in Western Europe and the Africa/Middle East region. Rolling stock is anticipated to see 68% of the expected market growth.

The industry growth is attributed to the classic megatrends, as well as new ones, primarily digitization.

Dr. Ben Möbius, managing director of the German Railway Industry Association (VDB), also spoke at length about the impact of digitization. He said, “We’re not expecting a wave of innovation; we’re in it.”

Digitization is the next wave of innovation and all about improving the quality of services, and quality of live for everyone, he said, creating a more climate-friendly, safer and more economical solution. The innovative technologies include digital control and safety technology, digital electronic signaling, connected stations, automated train operation, intermodal service platforms, more intelligent logistics, precise status diagnostics, predictive maintenance and a high level of security.

Rail service and maintenance will see a quantum leap from digitization, said Electro-Industry Association (ZVEI) Managing Director Herbert Zimmermann. Predictive maintenance has led to a 30 percent reduction in maintenance costs.

InnoTrans at a Glance

  • 2,950 Exhibitors from 60 countries
  • 62 Percent international exhibitors
  • 200 Companies exhibiting for the first time
  • 123 Rail vehicles on display on 11,500 feet of track
  • 140 Products making their world debut
  • 36 Industry Associations from 21 countries
  • 1,640 feet of test track for electric buses
  • More than 130,000 visitors expected to attend over 4 days

World Premieres

There are 140 products making their world debut at InnoTrans. Products include everything from innovative technology and interior components to the latest generation of rail vehicles.

The opening press conference concluded with a tour of several of the world premieres. 

Vossloh Kiepe showcased some of the innovative components of the new Wuppertal suspension railway cars. Apart from traction converters and an air conditioning system for the driver's stand, the advanced bogie was on display in the outdoor area. 

Siemens spoke of the impact digitization is having on increasing reliability and avoiding downtimes with its digital diagnostics solution.

 CRRC Corp. Limited highlighted a number of its projects, including a 218 mph high-speed train, a concept for an intercontinental train and a passenger information system based on satellite communications. (360 video below)

The Innovation Report at www.innotrans.de/en/Press/Innovations/ provides an overview of all of the world premieres.