Railway Subsystem Aftermarket Market: Introduction

  • Increasing number of railway networks across the world, due to a large number of travelers using railways as a mode transportation, is extensively contributing to the expansion of the railway subsystem aftermarket
  • The railways comprises several subsystems such as power supply system, communication system, vehicles, signal systems, and engineering structures. The interaction among these subsystems provides significant effect on the complete railway system. Moreover, the subsystem aftermarket is considered as a replacement of these products as and when required and acts as an important aspect, as the aftermarket provides all the products for the railway systems.

Key Drivers of Railway Subsystem Aftermarket Market

  • Rising government investments and adoption of several policies that are targeted toward the maintenance and repair of existing infrastructure and trains, along with developing new rail networks boost the railway subsystem aftermarket. Moreover, major companies in the market are investing to deliver innovative solutions for monitoring subsystems. Bombardier, a leading provider of railway subsystems, has introduced an OPTIFLO solution that can encounter the confronted railway infrastructure challenges mentioned by operators. These solutions help detect issues in the subsystems and aid companies to expand their product portfolio, which directly propels the aftermarket.
  • Moreover, a rise in adoption of automatic fault detection solutions and increasing integration of Internet of Things (IoT) with railway infrastructure for smart maintenance is expected to drive the railway subsystem aftermarket. Furthermore, the development of preferences to improve the quality of railway tracks particularly for busy routes is a key factor boosting the demand for subsystems in the aftermarket.

Challenges in Railway Subsystem Aftermarket Market

  • Volatility in raw material prices and huge investments in the railway infrastructure are considered as major challenges for expansion of the railway subsystem aftermarket, as raw materials that are required for the manufacture of subsystem and volatility in prices of raw material leads to a rise in cost of production.
  • The COVID-19 pandemic prompted governments to impose lockdowns across the world, which led to the shutdown of manufacturing processes and hampered the sales and demand for railway subsystem. Additionally, global transportation such as local and metro trains were disrupted, which halted railway services and hence, hampered the subsystem aftermarket. Likewise, the COVID-19 pandemic has also impacted the global supply chains that resulted in shortage of supply of raw material to the subsystem or related parts manufacturing companies, which hampered the aftermarket.

Opportunities in Railway Subsystem Aftermarket Market

  • Original equipment manufacturers are providing digital solutions and data analytics, which can remotely diagnose issues in trains and their components, which in turn is expected to propel the market in the near future. Moreover, service agreements by governments with prominent market players for repair and replacement of the subsystems are estimated to further drive the railway subsystem aftermarket during the forecast period.
  • Increase in demand for energy-efficient solutions for railways is prompting governments and original equipment manufacturers to upgrade their existing rail technology with advanced solutions, which is expected to drive the aftermarket during the forecast period. Furthermore, railway electrification and lower emission solutions further drive the railway subsystem aftermarket.

Railway Subsystem Aftermarket Market in Asia Pacific to Expand Significantly

  • Popularity of railway subsystem aftermarket is expanding in Asia Pacific due to extensive installation of railway tracks, high rate of adoption of railways for transportation, use of traditional locomotive engines, and rising maintenance of aging trains and rolling stock. China and Japan have adopted advanced solutions for automatic fault detection for their metro projects, which propels the subsystem aftermarket market. Additionally, some countries in Asia Pacific are still using old locomotive engines that require a large number of replacements for some subsystems, which further boosts the subsystem aftermarket in the region. Rising metro projects in India and other countries of Asia Pacific is expected to drive the railway subsystem aftermarket during the forecast period. The market in Europe and North America is projected to expand at a significant growth rate due to an increase in adoption of advance fault detection solutions and developed metro projects in these regions.

Key Players Operating in Railway Subsystem Aftermarket Market

The railway subsystem aftermarket is moderately consolidated. A few of the key players operating in the global railway subsystem aftermarket are:

  • ABB Ltd.
  • Siemens Mobility
  • Bombardier Transportation
  • Caterpillar Inc.
  • CRRC Corporation Limited
  • ZF Friedrichshafen
  • Harsco Corporation
  • Alstom SA
  • TÜV SÜD AG
  • Schaltbau Holding AG

Global Railway Subsystem Aftermarket Market: Research Scope

Global Railway Subsystem Aftermarket Market, by Subsystem

  • Traction & propulsion
  • Bogies
  • wheelsets & suspension
  • Body structures
  • Braking systems
  • Auxiliary systems
  • Rail tracks
  • Others

Global Railway Subsystem Aftermarket Market, by Product Type

  • Rail infrastructure
  • Rolling stock & locomotives
  • Metro
  • High-Speed Railway (HSR)
  • Light rail & trams
  • Locomotives
  • Passenger coaches
  • Freight wagons

Global Railway Subsystem Aftermarket Market, by Component Supplier

  • OEM
  • Rail operators
  • Component suppliers

Global Railway Subsystem Aftermarket Market, by Region

  • North America
    • U.S.
    • Canada
  • Europe
    • Germany
    • France
    • U.K.
    • Italy
    • Spain
    • Nordic Region
    • Rest of Europe
  • Asia Pacific
    • China
    • Japan
    • India
    • ASEAN
    • Rest of Asia Pacific
  • Latin America
    • Brazil
    • Mexico
    • Rest of Latin America
  • Middle East & Africa
    • GCC
    • South Africa
    • Rest of Middle East & Africa

This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.

Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:

  • Customer Experience Maps
  • Insights and Tools based on data-driven research
  • Actionable Results to meet all the business priorities
  • Strategic Frameworks to boost the growth journey

The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.

The following regional segments are covered comprehensively:

  • North America
  • Asia Pacific
  • Europe
  • Latin America
  • The Middle East and Africa

The EIRS quadrant framework in the report sums up our wide spectrum of data-driven research and advisory for CXOs to help them make better decisions for their businesses and stay as leaders.

Below is a snapshot of these quadrants.

1. Customer Experience Map

The study offers an in-depth assessment of various customers’ journeys pertinent to the market and its segments. It offers various customer impressions about the products and service use. The analysis takes a closer look at their pain points and fears across various customer touchpoints. The consultation and business intelligence solutions will help interested stakeholders, including CXOs, define customer experience maps tailored to their needs. This will help them aim at boosting customer engagement with their brands.

2. Insights and Tools

The various insights in the study are based on elaborate cycles of primary and secondary research the analysts engage with during the course of research. The analysts and expert advisors at TMR adopt industry-wide, quantitative customer insights tools and market projection methodologies to arrive at results, which makes them reliable. The study not just offers estimations and projections, but also an uncluttered evaluation of these figures on the market dynamics. These insights merge data-driven research framework with qualitative consultations for business owners, CXOs, policy makers, and investors. The insights will also help their customers overcome their fears.

3. Actionable Results

The findings presented in this study by TMR are an indispensable guide for meeting all business priorities, including mission-critical ones. The results when implemented have shown tangible benefits to business stakeholders and industry entities to boost their performance. The results are tailored to fit the individual strategic framework. The study also illustrates some of the recent case studies on solving various problems by companies they faced in their consolidation journey.

4. Strategic Frameworks

The study equips businesses and anyone interested in the market to frame broad strategic frameworks. This has become more important than ever, given the current uncertainty due to COVID-19. The study deliberates on consultations to overcome various such past disruptions and foresees new ones to boost the preparedness. The frameworks help businesses plan their strategic alignments for recovery from such disruptive trends. Further, analysts at TMR helps you break down the complex scenario and bring resiliency in uncertain times.

The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:

1. What can be the best investment choices for venturing into new product and service lines?

2. What value propositions should businesses aim at while making new research and development funding?

3. Which regulations will be most helpful for stakeholders to boost their supply chain network?

4. Which regions might see the demand maturing in certain segments in near future?

5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?

6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?

7. Which government regulations might challenge the status of key regional markets?

8. How will the emerging political and economic scenario affect opportunities in key growth areas?

9. What are some of the value-grab opportunities in various segments?

10. What will be the barrier to entry for new players in the market?

Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.

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Railway Subsystem Aftermarket Market