Global Railway Signaling System Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029
Railway signaling is a system used to direct railway traffic and keep trains clear of each other at all times.
Market Overview:
The latest research study on the global Railway Signaling System market finds that the global Railway Signaling System market reached a value of USD 8741.21 million in 2022. It’s expected that the market will achieve USD 13809.66 million by 2028, exhibiting a CAGR of 7.92% during the forecast period.
Short-term and Long-term Impact
The COVID-19 pandemic has severely affected railway operations in 2020. Railway services in many countries have been suspended, while several other countries/regions have also resumed railway operations with a limited number of trains. Although some countries have suffered severe losses, some countries have completely renovated their railway infrastructure and built new tracks and freight corridors during the blockade. The impact of COVID-19 on the market in 2020 is severe. The economic downturn in 2020 and the decline in GDP in major countries have hindered the mid-term growth of the railway signaling system market. Factory closures and labor shortages will lead to a decline in market demand. However, with the relief of the pandemic and the arrival of manufacturing operations after the lock-in, the market is expected to recover by the second quarter of fiscal 2021. Since the rolling stock that is out of service requires proper maintenance, remote monitoring and predictive maintenance technologies are required.
The ongoing COVID-19 pandemic has severely affected developed and developing countries around the world. In 2020, the economic downturn and the decline in GDP of major countries have hindered the mid-term growth of the railway signaling system market. Factory closures and labor shortages will lead to a decline in market demand. However, with the relief of the pandemic and the arrival of manufacturing operations after the lock-in, the market is expected to recover by the second quarter of fiscal 2021.
Drivers
Globally, due to the acceleration of urbanization, rapid population growth, increased commuters, Internet of Things, cloud computing, data analysis and other advanced technology applications, the railway signal system market is expected to show rapid growth technology during the forecast period.
The important driving force of the railway signal system market is the adoption of the Internet of Things and automation technology to enhance optimization. The increasing development of globalization and the demand for advanced transportation infrastructure are creating opportunities that will increase the demand for the railway signal system market during the forecast period. The market may show opportunities for untapped markets and growing awareness among users.
High population growth and over-urbanization, increased government initiatives and public-private partnerships, adoption of the Internet of Things and other automation technologies, and increased congestion caused by aging railway infrastructure are expected to be the main factors driving the development of railway signaling systems.
Constraints and Challenges
The initial cost of installing a railway signal system is high. The expenses involved in the financing of railway signaling system projects may be the main factor limiting market growth. Huge capital expenditures (CAPEX) coupled with increasing upfront installation costs are undoubtedly obstacles to the adoption of railway signal system technology across regions. The existing railway budget is limited, which is a constraint on the deployment of advanced railway technologies and solutions by governments and private companies.
Railway signal systems use different technical elements (such as hardware, software, and network) for integration, and the configuration of these elements can be complex. The integration of different hardware devices and railway signal systems with traditional system infrastructure can become complicated. Without strong existing IT and skilled personnel, the implementation of digital infrastructure will be very difficult. Railway operators can perform a thorough overhaul of IT systems. However, the cost of this overhaul will take a lot of time to realize. Several current IT systems are old and complex, which makes data sharing a difficult task. They also cannot cope with the scale of growth expected in the next few years. Frequent network failures and system failures may have a domino effect and have a negative impact on customer satisfaction.
Region Overview:
In 2021, the share of the Railway Signaling System market in Asia Pacific stood at 37.55%.
Company Overview:
Alsthom SA is one of the major players operating in the Railway Signaling System market, holding a share of 21.35% in 2022.
Alsthom SA
Alstom SA is a French multinational rolling stock manufacturer operating worldwide in rail transport markets, active in the fields of passenger transportation, signalling, and locomotives. Alstom’s products portfolio ranges from high-speed trains, metros, monorail, trams and e-buses to integrated systems, customised services, infrastructure, signalling and digital mobility solutions.
Hitachi Ltd
Hitachi Rail is a global leader in passenger rail systems, designing, building, operating and maintaining Railway and Mass Transit solutions that range from fully integrated turnkey solutions to traditional signalling systems.
Segmentation Overview:
By type, CBTC segment accounted for the largest share of market in 2021.
Application Overview:
The market's largest segment by application is the segment Outside the Station, with a market share of 80.13% in 2021.
Key Companies in the global Railway Signaling System market covered in Chapter 3:
Thales Group
Alsthom SA
Schaltbau
China Railway Signal and Communication Co, Ltd
Hitachi Ltd
CAF (Construcciones y Auxiliar de Ferrocarriles)
HUAWEI
Siemens AG
Nokia Corp
Wabtec Corporation
Bombardier Inc
Belden
Mermec
In Chapter 4 and Chapter 14.2, on the basis of types, the Railway Signaling System market from 2018 to 2029 is primarily split into:
Communication Based Train Control (CBTC) Systems
Positive Train Control (PTO) System
Automatic Train Control (ATC) System
In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Railway Signaling System market from 2018 to 2029 covers:
Inside the Station
Outside the Station
Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:
North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)
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