MARKET OVERVIEW- GLOBAL RAILWAY SIGNALLING SYSTEMS MARKET
The railway signaling system serves to prevent the collision of a railway carriage with other trains, derailment of train wagons, and train collisions with railroads. It also helps in locating trains and provides information regarding routes and stations. the growing trend of urbanization and the increase in the introduction of advanced technologies have led to the rapid development of railway signalling systems. Railway signalling systems help railway operators by leveraging IT and control systems to provide advanced control centres for railway operations. Due to the rapidly increasing number of traffic accidents worldwide, the need for safe and efficient transportation systems is increasing. Thereby growing demand for the development of advanced railway security and safety solutions is driving the railway signalling systems market.
MARKET DRIVERS
Increase in the number of rail commuters across the globe owing to the rise in many signaling systems technologies have been evolving such as, positive train control (PTO) system, automatic train system protection (ATP) system, automatic train operation (ATO) System, and communication-based train control (CBTC) system. In addition, an increasing need for safety, security, and compliance in rail transit. In addition, the emergence of IoT is transforming industries, providing them with new solutions to tackle existing problems. The inclusion of IoT solutions, as well as automated ones, helps the industry with problems associated with trains relying on trackside switches that are located in dangerous areas, as well as improving rail efficiency and driving down costs. The growth of the railway signalling system is expected to be primarily driven by the increased integration of IoT-based solutions. By 2050, it is expected that passenger mobility may increase by 200-300% and freight activity may increase by 150-250%, according to the International Transport Forum. Furthermore, governments around the world are making strategic investments in the rail industry to modernize the current rail infrastructure and thereby stabilize the country's economic growth and boost the market growth.
MARKET OPPORTUNITIES
The market is expected to have a new opportunity with technological development and significant advances in technology will bring various opportunities in the rail sector. The railway industry is cashing on this technology to bring about widespread automation of open rail networks. In addition, the emergence of artificial intelligence in the railway sector that is similar to autonomous vehicles has potentially more chances.
MARKET RESTRAINTS
The demand for rail transport has been growing tremendously in the last few years due to economical fares, faster modes of transportation, and the increasing adoption of advanced technologies in rail infrastructure. The factors that hinder growth include a large amount of investment and these investments may not be fulfilled due to the limited budget allocated by the government. Also, other associated costs such as maintenance, replacement cost, and management of existing and new systems within the railway premises may act as a major restraining factor in the growth of the railway signalling systems market.
MARKET GROWTH CHALLENGES
The railway signalling faces some issues such as power cuts or blown fuse in the circuit that can fail for different reasons. The main challenge is the loss of points. If the signal or set of points is lost, then the train will stop before they reach it. In addition, interlocking systems and rail telecoms are both different but important for coordinating railway signalling systems. These systems must work perfectly together 24/7 and tracking down the performance for each system is challenging. To identify the issue, so much data to manage and synchronise. Whilst much work can be done to use simulations and lab environments for testing, it is impossible to test everything until it is in the field.
CUMULATIVE GROWTH ANALYSIS
The report provides an in-depth analysis of the global Railway Signalling Systems market, market size, and compound annual growth rate (CAGR) for the forecast period of 2023-2029, considering 2022 as the base year. With the increasing demand for different Railway Signalling Systems due to growing urbanization and technological advancement has led the increasing demand for market and is expected to witness the growth at a specific CAGR from 2023-2029.
RAILWAY SIGNALLING SYSTEMS MARKET SEGMENTAL OVERVIEW
The global Railway Signalling Systems market comprises of different market segments like technology, application, and geography.
RAILWAY SIGNALLING SYSTEMS MARKET BY TECHNOLOGY
By technology, the Railway Signalling Systems includes key segments of
- Automatic Train Protection (ATP) System
- Automatic Train Operation (ATO) System
- Communication Based Train Control (CBTC) System
- Positive Train Control (PTO) System
- Others
Automatic Train Protection (ATP) System is expected to dominate the market over the forecast period. The Automatic Train Protection (ATP) System is a primary and vital system in railway traffic control applications. The main purpose of the Automatic Train Protection (ATP) System continually checks that a train’s speed is compatible with the permitted speed. It provides the necessary information to the driver and ensures that the train is always operated within the speed limits. It not only monitors the train’s performance regarding speed but also applies to breaks in unsafe conditions if the train is exceeding its speed limit. Thus, the Automatic Train Protection (ATP) System segment is growing at the highest pace during the forecast period.
RAILWAY SIGNALLING SYSTEMS MARKET BY APPLICATION
The Railway Signalling Systems market includes key applications like
- Inside the Station
- Outside the Station
Signalling system is used to control the movement of the trains inside a railway station and the track layout is used to ensure that the trains are able to safely navigate the railway network. It is useful for controlling the movement of trains so that it allows the trains to run in either direction and facilitates faster trains to overtake slower trains, thus ensuring the complete safety of trains. The use of high-end technologies, the rise in use of computer-based systems and supportive government initiatives to improve railway signalling system are key factors due to which the inside the station segment is expected to lead the market over the projected time period
RAILWAY SIGNALLING SYSTEMS MARKET BY GEOGRAPHY
The global Railway Signalling Systems market is studied for the following regions
- North America
- Europe
- Asia-Pacific
- Rest of the world (RoW)
The Asia Pacific region is projected to lead the market during the forecast period. The Asia pacific is a populous region and land transport. The rail is the most dominant means in the entire region. The increasing urbanization and mining activities as well as the presence of high-speed railways such as bullet trains in China and Japan will forecast the market growth over the mentioned timeframe. Even a developing country like India uses rail transport as a major mode of transportation and highly adopts railway technology for rail digitalization. Thus, these factors are attributed to the region’s growth.
COVID-19 IMPACT ANALYSIS ON THE GLOBAL RAILWAY SIGNALLING SYSTEMS MARKET
This outbreak of COVID-19 has significantly affected a number of people where millions of people had lost their jobs. Thereby due to strict lowdown, created hurdle for distribution in supply chain for number of industries in world with import and export of material and other products. The demand for railway signalling systems products has significantly decreased owing to the lower am number of passengers travelling in railways during COVID-19 times. The COVID-19 pandemic is expected to have a significant impact on the growing market for railway signalling systems. According to information provided by IRCTC (Indian Railway Catering and the Tourism Corporations), national railway passenger revenue fell to USD 1,845.7 Million in 2022 compared to USD 6,133.0 Million in the previous fiscal year. Almost 95% of the profit from freight transport was used to offset the loss from passenger and other coach transport. Total passenger revenue during this period was USD 5,601.8 Million. This means that losses in passenger transport account for about 82% of its income.
Axiom MRC provides a 360-degree analysis of micro and macro-economic factors in the global Railway Signalling Systems market. In addition, a complete analysis of changes in the global Railway Signalling Systems market expenditure, and economic and international policies on the supply and demand side is provided in this exclusive report. The report also studies the impact of a pandemic on global economies, international trade, business investments, GDP, and marketing strategies of key players present in the market.
COMPETITIVE LANDSCAPE ANALYSIS
The competitive landscape analysis of Railway Signalling Systems market is majorly focused on expanding the global growth of Railway Signalling Systems industry with new product innovation, business expansion, increasing presence of range of manufacturer operating in Railway Signalling Systems sector has led the growing demand for the market. Besides, the market offers range of products in different application to fulfil the required demand of consumer which is further contributing healthy growth in the market.
The key players studied in market are
- Hitachi Ltd
- NIPPON SIGNAL CO., LTD.
- MER MEC S.p.A.
- Alstom SA.
- Cisco Systems Inc
- Nokia Corporation.
- Angelo Holding SRL.
- Siemens AG
- Wabtec Corporation
- Belden Inc.
- Huawei Technologies Co Ltd.
- ProgressRail.
- IBM CORPORATION
RECENT DEVELOPMENT:
March 2023: Hitachi Rail has secured a framework contract for the European Rail Transport Management System (ERTMS) digital signalling technology in Italy. Under this contract, Hitachi Rail will design and deploy advanced digital signalling on 700km of rail lines in Italy.
November 2023: Alstom the global leader in smart and sustainable mobility, has signed a long-term service (LTSS) contract with SBS Transit Rail Pte Ltd. Under the long-term services support (LTSS) contract, the Urbalis signalling system was installed on Singapore’s North East Line (NEL).
