- The Russian railroad network is the world’s first-largest in terms of average transportation distance, second-largest in terms of freight rolling stock and third-largest in terms of freight turnover.
- Russia is currently the only large and rapidly growing railroad market open for private investment: the U.S. market is mature and settled, and the Chinese market is essentially under government control.
As of Association of American Railroads, National Bureau of Statistics of China, US International Trade Commission,
INFOLine, Company analysis
- The Russian economy is heavily dependent on rail transportation, which makes rail a critical element of Russian infrastructure.
- There is no major viable alternative to railways in Russia due to:
— the long distances involved;
— зlarge quantities of bulk freight;
— cost efficiencies;
— extreme climate conditions;
— lack of suitable waterways.
As of Rosstat, U.S. Department of Transportation, National Bureau of Statistics of China, Eurostat
- New railcar production almost stopped in 1990s after the collapse of the USSR.
- With an economic upswing in 2000s railcar production increased significantly and exceeded historical levels.
- An ageing fleet and transportation growth create long-term demand for railcars
Source: INFOLine estimates (As of June 2019)