Right track: Expansion of rail freight activity will drive industry revenue growth

Industry demand has grown steadily over the five years to 2017 as the growth of the US economy spurred increased demand for rail freight transport. Growth in trade volumes and increased federal investment in rail infrastructure have both contributed to increased industry demand. Moving forward, industry revenue is anticipated to continue growing over the next five years. With the US economy forecast to grow strongly, demand for rail freight shipping is anticipated to expand, in turn, boosting demand for industry services...purchase to read more.

Industry Statistics & Market Size
Annual Growth 12-17
Forecast Growth 17-22
Market Share of Companies

Industry Threats & Opportunities

  • Demand for rail freight shipping is anticipated to expand, supporting industry growth
  • The introduction of new rolling stock is an indicator of the rising importance of the industry
  • Insufficient pipeline infrastructure has made rail important in the transport of oil
  • Industry Report - Industry Analysis Chapter

    The Rail Maintenance Services industry has kept the US railcar fleet on track over the five years to 2017. The industry has mostly performed strongly in the years since 2012 due to growth in the downstream Rail Transportation industry (IBISWorld report 48211). Over the five years to 2017, IBISWorld expects the Rail Maintenance Services industry to grow at an annualized rate of 3.9% to reach $6.5 billion.Increased investment in railDemand for rail maintenance services was low in the immediate presence of the recession as a result of the weakness of the US economy. With low volumes of freight being shipped by rail, rail infrastructure and rolling stock were underused, reducing demand for repair and maintenance services. How...purchase to read more.

    Additional Insights for the Rail Maintenance Services Industry

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

  • Good project management skills
  • Economies of scale
  • Must comply with government regulations
  • IBISWorld analysts also discuss how external factors such as Demand from rail transportation and Federal funding for transportation in the Rail Maintenance Services industry impact industry performance..

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    What's in this report

    What is the Rail Maintenance Services Industry?

    This industry provides specialized services for railroad transportation including servicing, administering routine repairs (exclusive of factory conversion, overhaul or rebuilding of rolling stock), performing maintenance on railcars, loading and unloading of railcars and operating independent rail terminals.

    Industry Products
  • Maintenance and repair work
  • Cleaning and other services
  • Loading and unloading
  • Industry Activities
  • Providing freight car cleaning services
  • Providing grain leveling and trimming in railroad cars
  • Providing loading and unloading services at rail terminals
  • Repairing locomotives and railcars (except factory conversion, overhaul and rebuilding)
  • Providing railroad switching services
  • Providing independent railroad terminals
  • Providing shunting trailers in rail terminals
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from rail transportation
  • Federal funding for transportation
  • Private investment in industrial equipment and machinery
  • Total trade value

  • Current Performance
  • Increased investment in rail
  • Lulls over 2014 and 2016
  • Growth in passenger rail
  • An aging fleet gets a facelift
  • Growth in companies and employment
  • Chart: Revenue Growth

  • Industry Outlook
  • Oil transport
  • Industry expansion
  • High-speed rail
  • Table: Rail Maintenance Services Industry Revenue Outlook

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

  • Supply Chains
    Key Buying Industries
  • Rail Transportation

  • Key Selling Industries
  • Electrical Equipment Manufacturing
  • Metal Pipe & Tube Manufacturing
  • Screw, Nut & Bolt Manufacturing
  • Soap & Cleaning Compound Manufacturing
  • Train, Subway & Transit Car Manufacturing

  • Products & Services
  • Maintenance and repair work
  • Loading and unloading
  • Cleaning and other services
  • Chart: Rail Maintenance Services Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Class 1 railroads
  • Passenger railroads
  • Regional and shortline railroads
  • Chart: Major Market Segmentation for the Rail Maintenance Services Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Wages
  • Purchases
  • Rent and utilities
  • Depreciation and other costs
  • Chart: Cost Structure Benchmarking – Sector vs Rail Maintenance Services

  • Basis of Competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Rail Maintenance Services Industry

  • Industry Globalization
    GATX Corporation,
  • Table: GATX Corporation - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Rail Maintenance Services 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 Maintenance Services Industry
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Federal Funding for Transportation (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Class 1 Railroad
  • A railroad with operating revenue of at least $433.2 million in 2011 (number increases in line with inflation).
  • Commuter Rail
  • Passenger rail transport that operates from a central location (generally city centers) to outer suburban area.
  • Hopper Car
  • A type of railroad freight car used to transport loose bulk commodities.
  • Rolling Stock
  • All vehicles that move on a railway.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Rail Maintenance Services Industry Research Report offers insight into the market at the national level. Our analysis highlights macro trends in the overall sector and the micro trends faced by companies that do business in the Rail Maintenance Services industry. Our five-year outlook forecasts explain how the market is set to change and the product segments that will drive growth.

    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 Maintenance Services:
    • 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 Maintenance Services 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 Maintenance Services, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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