Market Trends of Hybrid Train Industry
This section covers the major market trends shaping the Hybrid Train Market according to our research experts:
Electro Diesel Segment Held the Largest Market Share in 2019
In 2019, the electro diesel segment held the largest share in the market. Electro diesel railway vehicles, also known as dual-mode or bi-mode, are powered either by an electricity supply (like an electric locomotive) or an onboard diesel engine (like a diesel-electric locomotive).
These railway vehicles are used across all regions. However, Asia-Pacific and Europe are identified as the major markets, with several development plans and high deployment units of electro-diesel railway vehicles. Moreover, railway vehicle manufacturers across the world are consistently working on various technologies to further enhance the performance of electro-diesel railway vehicles. For instance:
- In Poland, during 2018, PKP Cargo, Pesa, and TABOR Institute of Rail Vehicles signed an agreement at InnoTrans to develop an automated electro-diesel locomotive.
- PKP Cargo and Pesa are expected to create a design based on Pesa's Gama locomotive platform, which will be verified by TABOR. Following the testing by PKP Cargo, the locomotive is anticipated to be commissioned in 2022.
- The vehicle is expected to operate with GoA 3. Sensors, cameras, and gyroscopes will be fitted, and the input data will be analyzed using artificial intelligence.
- In Spain, the European Investment Bank (EIB) approved a loan worth EUR 100 million in 2019 to partly finance the planned procurement, which was valued at EUR 201 million, of 26 electric and 5 electro diesel trainsets for RENFE. The depots at El Berrón and Santander are expected to be modernized as part of the project.
- In December 2019, CRRC Corporation Limited and the Philippine Secretary of the Department of Transportation signed a contract. According to this contract, the Philippine National Railways (PNR) agreed to purchase three trains from CRRC. The diesel electric multiple unit trains are expected to have a design speed of 120 km/h.
Owing to such aforementioned developments, the electro diesel railway vehicles may replace their diesel counterparts. These electro diesel vehicles have been successfully generating savings in operation and maintenance costs, which may further drive the market growth during the forecast period.
Asia-Pacific is Likely to Lead the Hybrid Train Market During the Forecast Period
The hybrid train market is anticipated to be dominated by Asia-Pacific, due to several ongoing projects to launch the hybrid trains in the region. Asia-Pacific is also one of the biggest markets for the rail industry, and the demand for greener trains is growing in the region. The Asia Pacific comprises emerging economies, such as China and India, along with developed economies, such as Japan. The implementation of new technologies and the establishment of new government regulations are driving this market in this region.
Over the past decade, China experienced large-scale and rapid urban rail transit development. Urban rail transit in China has been developing toward networked structures, intellectualized equipment, diversified systems, and innovative technologies in recent years. The trend is shifting toward the adoption of large-capacity subways in the central areas of super cities and megacities, with the adoption of the medium-capacity monorail, inner-city rapid rail transit systems, and magnetic suspension trains, between central urban areas and remote towns.
In India, the focus on the adoption of hybrid trains is growing at a rapid pace, owing to the following instances:
- Indian Railways fitted solar panels on the rooftop of Diesel Electric Multiple Unit (DEMU) trains with a capacity of 4.5 kilowatt to cater to hotel load.
- Additionally, the blending of high-speed diesel with 5% biodiesel for railway locomotives has started. These railway vehicles have also started pilot projects, involving running DEMU trains with compressed natural gas (CNG) over 18 trains.
Such developments are expected to bolster the market prospects for the hybrid train market in the region during the forecast period.
