In transit: Increased demand for mass transit will promote growth in industry revenue

The Railroad Track Construction industry has benefited from increased government investment and public-private partnerships over the past five years to 2018. This industry benefited from capital outlays made by the federal government through programs such as the American Reinvestment and Recovery Act. At times, a booming energy sector benefited this industry by increasing demand for transportation systems needed to connect oil rigs and gas fields to their downstream markets. Over the five years to 2023, growth is expected to remain robust. Growth will become less volatile as a consequence of moving further away from the recession rather than poorer operating conditions...purchase to read more.

Industry Statistics & Market Size
Revenue
$8bn
Annual Growth 13-18
3.2%
Forecast Growth 18-23
Profit
Employment
21,659
Businesses
1,509

Industry Threats & Opportunities

  • The high-speed rail projects in California are expected to benefit this industry and the economy
  • FAST Act has provided steady demand for industry services by encouraging more investment in transit
  • Increased demand for mass transit and improving economic conditions are likely to promote growth
  • Industry Report - Industry Products Chapter

    New track constructionNew track construction, which includes the creation of new track in a developed or undeveloped area, is the largest source of revenue for the Railroad Track Construction Industry. This segment only includes new track construction in a developed area if the previous tracks were fully removed. New track construction has grown over the past five years; increased demand from private companies and governments funneling funding into transportation grants for new projects have boosted demand for new tracks. Overall, new track construction accounts for 54.9% of revenue.Track maintenanceTrack maintenance only includes track expenditures that maintain the value of the train system, such as general track repair and upkeep. The...purchase to read more.

    Additional Insights for the Railroad Track Construction Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Railroad Track Construction Industry are

  • Economies of scale
  • Market research
  • Having a network of suppliers
  • IBISWorld analysts also discuss how external factors such as Freight transportation services index and External competition for the Rail Transportation industry in the Railroad Track Construction industry impact industry performance..

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    What's in this report

    What is the Railroad Track Construction Industry?

    This industry constructs railway track, railway ties, bedding and other infrastructure related to railroads. Contractors perform new work, reconstruction and repairs. This industry also includes construction management companies and special trade contractors that construct rail track and transit systems.

    Industry Products
  • New track construction
  • Track additions
  • Track maintenance
  • Industry Activities
  • New railroad track construction
  • Railroad track repair
  • Railroad track maintenance
  • Railroad track additions
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Freight transportation services index
  • External competition for the Rail Transportation industry
  • Federal funding for transportation
  • Total exports
  • Total imports
  • World price of steel

  • Current Performance
  • Increasing consumer demand
  • Regulatory factors
  • Operational trends
  • Chart: Revenue Growth

  • Industry Outlook
  • Sustained demand
  • On the right track
  • Table: Railroad Track Construction Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Railroad Track Construction Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Stone Mining
  • Structural Metal Product Manufacturing
  • Construction & Mining Equipment Wholesaling
  • Industrial Machinery & Equipment Wholesaling
  • Aircraft, Marine & Railroad Transportation Equipment Wholesaling

  • Key Selling Industries
  • Rail Transportation

  • Products & Services
  • New track construction
  • Track maintenance
  • Track additions
  • Chart: Railroad Track Construction Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Private sector
  • State and local government
  • Federal spending
  • Chart: Major Market Segmentation for the Railroad Track Construction Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesLabor and depreciationOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Railroad Track Construction

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Railroad Track Construction Industry

  • Industry Globalization
    Granite Construction Inc., Kiewit Corporation, The Walsh Group,
  • Table: Granite Construction Inc. - financial performance
  • Table: Kiewit Corporation - financial performance
  • Table: The Walsh Group - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Railroad Track Construction 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 Railroad Track Construction Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Freight transportation services index (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Ballast
  • A mixture of crushed stone that forms the track bed upon which the railroad ties are laid
  • Railroad Ties
  • A rectangular support for the rails in railroad tracks
  • Subgrade
  • Also called the formation level, the subgrade is the native material underneath a constructed road, pavement or railway
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Railroad Track Construction Industry Research Report contains up-to-date data and analysis, allowing you to identify the strengths and potential weaknesses of major companies in the industry. Build your credibility with clients and prospects by sharing insights into the current and emerging trends driving their industry. Our market research gives you the tools to win new business and keep existing clients.

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

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