All aboard: The growing US population will likely drive growing demand for imported products

As companies seek to promote environmentally friendly practices, they have turned to more fuel-efficient rail transporters to move their goods. The growth of oil production during the early parts of the five-year period encouraged energy companies to use rails to transport their oil as the pipeline networks struggled to keep up with production. As manufacturing production increases and consumers begin to spend more, demand for rail transportation services will increase. Further, the recovery of oil prices is likely to result in observable increases in fuel surcharges over the next five years to 2022...purchase to read more.

Industry Statistics & Market Size
Revenue
$73bn
Annual Growth 12-17
-1.5%
Forecast Growth 17-22
Profit
Employment
159,996
Businesses
888

Industry Threats & Opportunities

  • The fall of oil prices has resulted in lower expenses, improving industry profitability
  • With fuel costs increasing, fuel efficiency and carbon emissions become marketing tools
  • Freight volume and demand for rail transportation will increase as the labor market improves
  • Industry Report - Industry Locations Chapter

    Rail networks are designed to transport goods from city to city and from production centers to consumption destinations. As a result, services are linked with the location of consumer and producer centers and ports of transit. The region with the largest number of railroads is the Southeast, due to the number of seaports that are in the region. The Southeast, which includes the largest tonnage port in the United States, the Port of Southern Louisiana, represents 25.4% of US freight railroads.Railroads create a land bridge by servicing container ports between the West Coast and the East Coast. The West has three out of the largest five container ports in the United States: Los Angeles, Long Beach and Oakland, all in California. It is estimated that 25.0% o...purchase to read more.

    Additional Insights for the Rail Transportation Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Rail Transportation Industry are

  • Automation
  • Ability to effectively manage risk
  • Production of premium goods/services
  • IBISWorld analysts also discuss how external factors such as Price of diesel and Total trade value in the Rail Transportation industry impact industry performance..

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    What's in this report

    What is the Rail Transportation Industry?

    The Rail Transportation industry comprises companies that operate railroads across the United States. This includes large railroads (Class 1 railroads) and regional and local line-haul railroads that carry freight and passengers. This industry does not include scenic and sightseeing rail transportation, street railroads, commuter rail or rapid transit.

    Industry Products
  • Bulk freight
  • Intermodal services
  • Passenger services
  • Other services
  • Industry Activities
  • Operating line-haul railroads
  • Operating short line railroads
  • Operating intercity passenger trains
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Price of diesel
  • Total trade value
  • Industrial production index
  • Demand from chemical manufacturing
  • World price of steaming coal

  • Current Performance
  • The rise and fall of crude oil prices
  • Operational trends
  • Chart: Revenue Growth

  • Industry Outlook
  • Investing in productivity
  • High-speed rail
  • Table: Rail Transportation Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Rail Transportation Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Agriculture, Forestry, Fishing and Hunting
  • Mining
  • Coal Mining
  • Manufacturing
  • Petrochemical Manufacturing
  • Car & Automobile Manufacturing
  • Coal & Natural Gas Power
  • Consumers

  • Key Selling Industries
  • Petroleum Refining
  • Rail Maintenance Services
  • Train, Subway & Transit Car Manufacturing

  • Products & Services
  • Bulk freight
  • Intermodal services
  • Passenger services
  • Other services
  • Chart: Rail Transportation Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Other
  • Industrial goods market
  • Chemical market
  • Coal market
  • Misc. mixed shipments
  • Agricultural market
  • Food and consumer goods market
  • Passengers
  • Chart: Major Market Segmentation for the Rail Transportation Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesRent, depreciation and other
  • Chart: Cost Structure Benchmarking – Sector vs Rail Transportation

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Rail Transportation Industry

  • Industry Globalization
    Burlington Northern Santa Fe LLC, Union Pacific Corporation, CSX Corporation, Norfolk Southern Corporation,
  • Table: Burlington Northern Santa Fe LLC - financial performance
  • Table: Union Pacific Corporation - financial performance
  • Table: CSX Corporation - financial performance
  • Table: Norfolk Southern Corporation - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Rail Transportation Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Rail Transportation Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Total trade value (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Bulk Freight
  • Unpackaged commodity cargo (liquid or dry) transported in large quantities.
  • Class 1 Railroad
  • A railroad with annual operating revenue of $378.8 million or more.
  • Fuel Surcharge
  • An additional charge issued by transportation operators to cover the increased cost of fuel. It is charged in addition to the freight rate.
  • Intermodal Transport
  • The transportation of containerized goods that can roll on and off rail and ship carriers straight onto the road.
  • Line-Haul Railroad
  • A railroad that transports passengers or cargo over a long distance within a rail network.
  • Rolling Stock
  • All vehicles that move on a railway.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s industry research report on Rail Transportation contains five-year forecasts and data analysis that can help you identify and mitigate risks in potential new markets. Position yourself as an expert with internal stakeholders by using our comprehensive industry research to inform your reports, proposals and presentations. Our business information will save you money by helping you make better decisions, faster.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Rail Transportation:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Rail Transportation market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Rail Transportation, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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