The German Railway Industry Association (VDB) e.V. takes stock of the 2023 business year: With a total of 14.4 billion euros, the railway industry in Germany achieves a new record revenue. The vehicle business remains the strongest segment with 10.4 billion euros, but the infrastructure sector is noticeably gaining traction. "The infrastructure sector is a reliable indicator in the domestic market of how far the federal government's plans for the renovation and modernization of the rail network have progressed. And now there is movement," said VDB President Andre Rodenbeck. After stagnating in recent years, domestic infrastructure revenue grew by 17 percent in 2023.

Incoming orders in Germany and abroad are growing with a total volume of 21.5 billion euros, an increase of 57 percent to a historic high. Around 60 percent of all orders refer to Germany with a volume of 13 billion euros. The order volume in the rail vehicle segment increases by 64 percent and the infrastructure sector also grows by 40 percent. In the domestic market, infrastructure orders amount to 3.6 billion euros, corresponding to a growth of 29 percent. "From system houses to medium-sized companies, the order situation is developing very strongly. For the necessary improvement of German Railway Industry it is now of utmost priority to maintain this momentum," said Rodenbeck.

Key drivers are stable and long-term binding investments, simplified rules, and fair measures against inflation. Multi-year rail funds could enable faster use of funds and motivate companies to invest in more equipment and a significant increase in personnel, said Rodenbeck. To accelerate the digitization of the rail network, it is also necessary to clarify how and in which segments the federal government will invest in the future: "We achieve more capacity and reliability primarily through the digitization of the rail system. This includes not only upgrading infrastructure but also the appropriate equipping and retrofitting of vehicles. The federal government must manage and financially support this to ensure the nationwide rollout is successful" warned VDB Managing Director Sarah Stark. Currently, the industry lacks long-term planning certainty despite federal investments. Inflation and rising energy prices continue to burden the railway industry: "With the encouraging balance sheet figures, revenue and profit should not be confused. Only through contractual price adjustments is it possible to fairly distribute the above-average cost increases. This is legally regulated for cases of force majeure but is currently not a widespread practice," explained the VDB President.