RAIL COMPONENTS MARKET ANALYSIS

Market Challenges And Opportunities

Global Rail Components Market Drivers:

Rising demand for rapid transit to boost the market growth

Rapid transit is also called as metro, heavy rail, tube, subway, u-bahn, or underground transit. This is a high-capacity public transport found generally in urban regions. Rapid transit systems can be electric railways operating on an exclusive right-of-way. This cannot be accessed by pedestrians or any other vehicles. It is often grade separated in tunnels or on elevated railways. Modern services on these rapid transit systems come with designated lines between stations, and they typically use electric multiple units on railway tracks. With increasing urbanization, the demand for rapid transit is growing around the world, which is expected to fuel growth of the global rail component market during the forecast period.

Rise in use of Internet of Things (IoT) in railways is to augment the market growth

Deployment of IoT in railways enhances safety and reliability of the train infrastructure. The IoT sensors generate data which further allows to analyze and interpret conditions that may not be done earlier. The use of IoT technology can help use a lot of data for optimizing train schedules and maintain equipment, which are two major challenges for railway efficiency. Internet of Things can also help streamline railway operations when it is combined with analytics for better efficiency. Thus, due to such benefits of deployment of IoT in railways, its demand is increasing. This in turn is expected to drive growth of the global rail components market during the forecast period.

Global Rail Components Market Opportunities:

Increasing focus toward domestic production in emerging nations is expected to create growth opportunities in the global rail components market during the forecast period. The rail industry is one of the major components in any industrial economy due to which, the logistics chain is important for an economy. In most of the emerging nations, rail components are imported from locomotive production site of manufacturer, due to which the cost of components increases. Thus, several emerging countries such as Brazil, South Africa, and India have begun domestic productions for these components. This in turn is expected to offer several lucrative opportunities in the global rail components market during the forecast period.

Emergence of autonomous train is expected to create multiple opportunities in the global rail components market over the forecast period. Autonomous and semi-autonomous technologies are increasingly evolving with major technological developments. Autonomous train drive without human driver, and require minimum to no human assistance. The entire transportation industry is witnessing a growing development of driverless vehicles. The adoption of autonomous trains on large scale is likely to take a long time, however, many railway operators will adopt semi-autonomous trains in the coming future. Thus, this in turn is expected to offer several growth opportunities in the market.