16-18 March 2027Crocus Expo, Pavilion 3
Declining transportation volumes, sanctions pressure, infrastructure capacity shortages, rising repair and leasing costs, and consolidation of operators and manufacturers—read more in this news story.
The Russian rail freight market has entered 2025 in a state of profound structural change. Sanctions, volatility in global raw materials markets, changes in logistics flows, and a slowdown in the rail network continue to impact transportation volumes, segment dynamics, operator performance, and infrastructure.
According to INFOLine Rail Russia TOP, in 2024 the volume of rail transportation in Russia decreased by 3.3%, to 1.308 billion tons, and in the fourth quarter the decline was 3.6%. ROLLINGSTOCK Agency (RSA) also records a decrease in loading on the Russian Railways network: minus 4.1% (1,181.4 million tons) in 2024, and minus 7.6% (554.5 million tons) in the first half of 2025, which is 12.4% below the 2021 level. AI Smart Logistics provides the following data: in total, 739.3 million tons of freight were transported from January to July 2025 (-6.2% year-on-year), and loading on the Russian Railways network amounted to 646.6 million tons (-7.3% year-on-year).
According to INFOLine Rail Russia, the decline in 2024 affected key freight segments: construction materials (-9.4%), coal (-4.7%), ore (-2.1%), petroleum products (-1%), and ferrous metals (-8%). At the same time, fertilizers (+9.1%) and timber (+0.1%) showed growth. RSA attributes the change in cargo structure to a combination of factors: a cooling economy amid a high Central Bank key rate, a decline in domestic demand, increased road transport, and difficulties in planning shipments under a dynamic infrastructure utilisation model.
One of the most significant factors in 2024 was the slowdown in rail network operations. RSA notes a shortage of qualified personnel and extended freight delivery and railcar turnaround times. Russian Railways took measures to improve the situation, including increasing locomotive crew rates by 20% from November 2024, but the demand for rolling stock continued to grow. This exacerbated the local railcar shortage and stimulated demand for new rolling stock as early as 2024.
Fleet reduction measures had an additional impact: with low decommissioning rates and high deliveries, the freight car fleet exceeded 1.4 million units in May 2025. Russian Railways has repeatedly emphasized its fleet surplus, which, according to the carrier, was negatively impacting network capacity.
INFOLine Rail Russia data shows a decline in market concentration: the share of the top 30 operators by transportation volume fell from 78.7% to 75.3%. Among the largest players, positive dynamics were demonstrated by First Freight Company (FGC) (+2.7%) and National Transport Company (NTK) (+21% due to the transfer of the Neftetranservice fleet). Demetra Holding maintained steady growth thanks to agricultural logistics, while Federal Freight Company (FGC) reduced its volumes by 11.5%, focusing on strategic cargo and high fleet availability.
According to Kommersant newspaper, based on the results of the first nine months of 2025, cargo handling at the largest railway operators decreased by almost 7% compared to the same period in 2024. Federal Freight Company (FGC) experienced the most significant reduction in cargo handling, down 30.3% to 54.3 million tons. Freight One (FGC) increased its cargo handling by 3.2% to 98.8 million tons.
Consolidation has intensified amid declining profitability. RSA is detailing transactions for 2024–2025: the consolidation of Atlant through the acquisition of TransLes and the assets of Gruzovaya Kompaniya, the transfer of NefteTransServis's fleet to NTK management, Globaltrans's sale of BTS and NPK to KSP Capital Asset Management entities, Fesco's expansion into the container shipping segment, and other transformations. 2025 will be an extremely challenging year for operators overall, notes Mikhail Burmistrov, CEO of INFOLine-Analytics, and 2026 will likely be the most challenging year in the history of the operator business.
"We expect some small and medium-sized companies to exit the market or sell their businesses. This creates an opportunity for consolidation and strategic partnerships," Burmistrov added. Operators are also under pressure from the 10% increase in Russian Railways' base tariff effective December 1, and the 10% increase in empty run fees effective January 1, 2026, for the second year in a row.
According to RSA, freight car production in Russia reached 74,900 units in 2024, one of the highest levels in decades. The leaders were OVK (19,600), RM Rail (12,700), and Altaivagon (10,600). Uralvagonzavod significantly increased its output (+39.2%), maintaining its fourth place in the ranking. This growth in production was accompanied by increased demand for components: the output of large railcar castings increased by more than 18%, wheel production by 10%, and the supply of railcar axles increased. However, the situation changed in the first half of 2025: output decreased by 15.7% to 30,200 cars. The reasons for this include a decline in loading, regulatory restrictions on fleet size, the high key interest rate of the Central Bank, and weakening demand for rolling stock.
In 2024, the volume of scheduled repairs amounted to 447,400 railcars (an 8% increase). However, in 2025, the market reversed itself: Russian Railways tightened requirements for the acceptance of railcars after major repairs. Of the 7,000 railcars submitted between January and May 2025, only about 430 were approved, according to Roman Khoykhin, Head of the Rolling Stock Department at Russian Railways. Only 49 companies out of 180 authorized for major repairs met the technological requirements. The cost of such work increased to 1.2-1.8 million rubles. According to the General Director of INFOLine-Analytics, the cost of major repairs for gondola cars increased more than fivefold, to 1.1-1.4 million rubles, for boxcars, grain trucks, and flatcars to 600,000-800,000 rubles, and for tank cars to at least 500,000-600,000 rubles.
According to INFOLine, despite the overall decline in freight volumes, container shipping and agricultural cargo continue to show positive growth. Demand for container flatcars is expected to increase in 2025, and the new quota-based coal transportation regulations from the Kemerovo Region, effective April 2025, will stimulate fleet renewal and support demand for innovative models. Analysts estimate that companies capable of adapting to new requirements, investing in innovative rolling stock, and ensuring technologically advanced, reliable, and cost-effective services will be successful in the coming years.
In the face of industry restructuring, increased competition, and constant regulatory changes, businesses need to find partners, develop new logistics solutions, discuss infrastructure constraints, and select technology and rolling stock suppliers. All these challenges can be addressed in a targeted manner, but much more effectively, at the largest International Exhibition of Transport and Logistics Services, Warehouse Equipment, and Technologies.
The TransRussia | SkladTech exhibition brings together rail transport operators, logistics companies, freight forwarders, and cargo owners, enabling participants to build strategic connections and find solutions. This is why attending TransRussia is becoming a key growth point for businesses focused on developing in the new logistics reality. In 2025:
// 30,420+ visitors attended the exhibition
// More than 14,600 specialists were interested in rail transport
// 76% of visitors came to TransRussia in search of new suppliers and partners, and 95% influence purchasing decisions.
PTC Holding, RAILGO, AllianceTransTorg, DVTG, Demetra Holding, Eurosib, Istcomtrans, Modum-Trans, New Forwarding Company, Novotrans Group, UTLC ERA, First Industrial Operator, Russian Railways Logistics, TEK OPERATOR, and other companies have already reserved stands for the 2026 exhibition.
