There are a few key factors driving the growth of the rail wheels market. Firstly, there is an increasing demand for rail transport globally, as it is a more efficient and sustainable means of transportation compared to road and air transport. This is particularly true in developed countries, where railways are already well-established. Secondly, there is a growing trend for privatization of railway services, which is opening up opportunities for private companies to manufacture and supply rail wheels. Finally, advances in technology are leading to the development of new types of rail wheels that are lighter and more durable, which is making them increasingly popular with both manufacturers and consumers.
There has been an increase in demand for rail transport, globally, owing to advantages, such as economy and safety, offered by this mode of transportation as compared to roadways and airways. This factor is anticipated to fuel the growth of the rail wheels market during the review period.
The market for rail wheels is expected to grow significantly in the coming years. The factors driving the market growth include the increasing demand for freight wagons and passenger wagons, the growing railway infrastructure, and the government initiatives to promote the use of railways.
A rail wheel is a type of wheel specially designed for use on railway tracks.Rail wheels are made from a variety of materials, the most common being cast iron and steel.The tread of a rail wheel comes into contact with the rail, so it needs to be very hard wearing and have good resistance to wear. The hub is the central part of the wheel and is the part that attaches to the axle.
There are three main types of rail wheels: high speed, freight wagons, and passenger wagons.High speed wheels are designed for use on high speed trains and have a special tread design that helps reduce noise and vibration.Freight wagon wheels are designed for use on freight trains and are usually made from cast iron or steel.Passenger wagon wheels are designed for use on passenger trains and are usually made from steel.
The rail wheels market is expected to reach USD 7.12 Billion by 2031 from an estimated value of USD 4.13 Billion in 2021, at a CAGR of 5.6%.
The global market for rail wheels has been growing on the back of increased investment in railway infrastructure and the need for more efficient and eco-friendly transportation solutions.
There has been a significant increase in the number of freight trains in the recent years owing to the rise in trade activities between countries. This has resulted in an increased demand for rail wheels as they are an essential component of locomotives. Similarly, with the expansion of urban areas and development of new cities, there has been a need for efficient public transportation systems which has led to construction of high-speed railways. These railways use specialized wheels that can sustain high speeds and hence, there is a growing demand for such wheels from the railway authorities. However, the Covid-19 pandemic has resulted in a decline in economic activity and consequently, a decrease in demand for rail transport which might act as a restraint on the growth of this market over the next few years.
There are many key players in the rail wheels market, which are constantly innovating and investing in research and development to remain competitive. Some of the major companies operating in this market include Amsted Rail Company, Inc., ArcelorMittal S.A., Nippon Steel & Sumitomo Metal Corporation, Lucchini RS SpA, Evraz PLC, Schaeffler Technologies AG & Co. KG, NTN Corporation, TimkenSteel Corporation, American Axle & Manufacturing Holdings, Inc., and Thyssenkrupp AG.
High Speed Segment to form major portion of the market
On the basis of type, the high speed segment is projected to grow at the highest CAGR during the forecast period. This growth can be attributed to increasing demand for high speed trains from various countries across the world.
OE market to grow at highest CAGR
On the basis of application, OE market is expected to grow at a higher CAGR as compared to AM market over the forecast period. This growth can be attributed to increasing demand for new railway projects across various countries.
Asia Pacific to dominate the market
The Asia Pacific region is expected to grow at the highest CAGR during the forecast period. The growth of the region can be attributed to factors such as increasing investments in infrastructure development and expansions by leading players in countries such as China and India.
In terms of market share, Asia Pacific is expected to account for the largest share of the global rail wheels market, followed by North America and Europe. The large share of Asia Pacific can be attributed to factors such as increased investments in railway infrastructure development and expansions by leading players in countries such as China and India.
Covid-19 Impact & Market Status
The coronavirus pandemic has had a significant impact on the rail wheels market, with the majority of companies suspending or slowing down their production activities. The market is anticipated to witness a decline in demand from the Original Equipment Manufacturers (OEMs) as well as Aftermarket segments. In terms of market status, the rail wheels market is categorized into four regions, namely, North America, Europe, Asia Pacific, and South America. The COVID-19 pandemic has resulted in a decrease in demand for railway transportation services, which has negatively impacted the rail wheels market in North America. The COVID-19 pandemic has led to a decrease in demand for railway transportation services, which has had a negative impact on the rail wheels market in Europe.
Latest Innovations in the Global Rail Wheels Market: A Snapshot
The most notable development has been the increasing adoption of high-speed rail (HSR) technology. HSR is a type of rail transport that uses dedicated infrastructure and rolling stock to travel at speeds above 250 km/h (155 mph). In 2019, China commissioned the world’s largest HSR network, which spans over 22,000 km (13,670 miles). This has led to an increase in demand for HSR-compatible rail wheels.
Other developments in the market include the increasing use of freight wagons and passenger wagons. Freight wagons are used to transport goods and cargo, while passenger wagons are used to transport passengers. Both types of wagons require different types of rail wheels. For instance, freight wagons typically require heavier and sturdier rail wheels than passenger wagons.
The increasing adoption of amortized metal (AM) wheels is another development worth mentioning. AM wheels are made from a type of steel that is designed to resist wear and tear. They are often used in applications where high loads and speeds are required, such as in HSR systems.
Finally, the global rail wheels market is also being driven by the increasing investment in railway infrastructure. Countries around the world are investing billions of dollars to upgrade their railway networks. This is resulting in an increased demand for all types of rail components, including rail wheels.
Rail Wheels Market Scope
|Forecast Unit||Value (USD)|
|Revenue forecast in 2031||USD 7.12 Billion|
|Growth Rate||CAGR of 5.6% during 2021-2031|
|Segment Covered||Type, Application, Regions|
|Regions Covered||North America, Europe, Asia Pacific, South America, Middle East and Africa|
|Key Players Profiled||Amsted Rail Company, Inc., ArcelorMittal S.A., Nippon Steel & Sumitomo Metal Corporation, Lucchini RS SpA, Evraz PLC, Schaeffler Technologies AG & Co. KG, NTN Corporation, TimkenSteel Corporation, American Axle & Manufacturing Holdings, Inc., and Thyssenkrupp AG.|
Key Segment of Global Rail Wheels Market
By Type Overview 2021-2031, (USD Billion)
• High Speed
• Freight Wagons
• Passenger Wagons
By Application Overview 2021-2031, (USD Billion)
• OE Market
• AM Market
By Region Overview 2021-2031, (USD Billion)
• Rest of Asia Pacific
• Rest of North America
• Rest of Europe
Middle East and Africa