EU Rail Reports Passenger Growth Freight Stagnation

BRUSSELS – Passenger rail transport in the European Union has grown beyond 2019 levels, with total traffic reaching 443 billion passenger-kilometers in 2024, a 5.8% increase over 2023. A new Eurostat report confirms this recovery but highlights a contrasting stagnation in the rail freight sector, which captured only 5.5% of the total freight market in 2023.

What Does This Report Cover?

The Eurostat analysis details a two-speed reality for the European rail industry. For passenger services, the report confirms a full recovery from the pandemic, with 8.3 billion domestic passengers and 150 million international passengers travelling in 2024, excluding data from Belgium. The per-capita usage was highest in Hungary (1,513 km), Austria (1,493 km), and France (1,442 km), while Greece recorded the lowest at just 70 km. In contrast, the rail freight sector’s 5.5% market share in 2023 shows minimal progress from its 5.7% share a decade prior, indicating a failure to significantly shift cargo from road and sea. Germany remains the dominant force in rail freight, accounting for 126 billion ton-kilometers, or 33.7% of the EU total.

Key EU Rail Market Data

How Do These Trends Compare to Broader Market Dynamics?

The stagnation of rail freight’s market share at 5.5% is particularly notable given the increasing strain on the road transport sector. The DAT iQ ‘Signal’ report indicates a market of rising freight rates and shrinking capacity, conditions that should theoretically drive modal shift to rail. Furthermore, major logistics hubs are facing bottlenecks, with the Port of Antwerp-Bruges expecting increased congestion in 2025, which will amplify pressure on both road and rail infrastructure. This suggests that rail’s inability to gain share is more related to internal issues like infrastructure capacity and interoperability than a lack of external market opportunity.

The positive passenger growth aligns with significant capital investments aimed at modernizing networks to attract more riders. For example, the Czech railway infrastructure manager recently secured record funding and approved a EUR 405 million deal to modernize the major Hradec Králové station. This focus on improving passenger infrastructure, coupled with a broader downturn in global automotive markets where China’s car sales continue to decline (Source: Reuters, 2024), provides a favorable environment for passenger rail to continue its growth trajectory.

Editor’s Analysis

The Eurostat data confirms a critical divergence in European rail strategy and performance. Passenger rail is successfully capitalizing on post-pandemic demand and a public appetite for sustainable travel, supported by targeted state-funded modernization projects. The freight sector, however, remains a marginal player, failing to seize market share from a road haulage industry beset by rising costs and capacity constraints. This indicates that the core challenges for rail freight—primarily cross-border operational complexity and infrastructure bottlenecks—are not being resolved quickly enough to meet the EU’s modal shift ambitions.

FAQ

Q: Which EU country uses passenger rail the most per person?
A: Hungary recorded the highest domestic passenger rail traffic in 2024 with 1,513 kilometers traveled per capita. Austria and France followed closely behind.

Q: What is the market share of rail freight compared to road and sea?
A: In 2023, rail accounted for only 5.5% of total freight transport in the EU. This is significantly lower than maritime transport at 67.4% and road transport at 25.3%.

Q: Are any countries showing significant growth in rail freight?
A: Yes, between 2014 and 2024, Bulgaria saw the largest increase in rail freight at 65%, followed by Croatia at 55.4%. Conversely, the Baltic states of Latvia and Estonia saw declines of over 80% in the same period.