Railway Traction Motors Market

Railway Traction Motors Market Outlook (2025 to 2035)

The global railway traction motors market was valued at USD 12 billion in 2024 and has been forecast to expand at a noteworthy CAGR of 4.8% to end up at USD 20 billion by 2035. There is an increase in the railway network across the globe that facilitates the transportation of products and commodities over longer distances than roadways. This is one of the main reasons behind the demand for railway traction motors.

The railway traction motors are electric motors, which develop power for a train's rotating wheels. These have a sealed structure that will prevent dust from entering and will require less maintenance and are a better accessory device like cooling fans that reduce the noise.

The stator of these motors is incorporated using high-frequency heating. This makes these motors highly reliable and are being used in the majority of the electric, diesel-electric locomotives, and electric multiple units (EMUs) in all parts of the world.

Traction motors have several advantages, including a small design, high power efficiency, and long life. This, combined with various measures taken by governments of various nations to promote the use of electric motors, is encouraging the growth of the railway traction motors market.

Moreover, the electrification of railway networks and the conversion of traditional diesel locomotives to electric locomotives are increasing.

The rising use of high-capacity lithium-ion batteries in rolling stock and traction power is providing lucrative growth prospects for key market participants. These participants are heavily spending on research and development (R&D) initiatives to improve railway systems, allowing them to grow overall sales and profitability.re heavily investing in R&D activities to enhance railway systems, which is helping them increase overall sales and profitability.

Report Attributes	Details
Railway Traction Motors Market Size (2024A)	USD 12 Billion
Estimated Market Value (2025E)	USD 13 Billion
Forecasted Market Value (2035F)	USD 20 Billion
Global Market Growth Rate (2025 to 2035)	4.8% CAGR
East Asia Market Share (2025)	29.2%
China Market Growth Rate (2025 to 2035)	5.7% CAGR
Key Companies Profiled	Mitsubishi Electric Corporation; ABB Ltd; ALSTOM Holdings SA; Caterpillar Inc.; Bharat Heavy Electricals Limited; Bombardier Inc; Saini Group; Siemens AG; Sulzer Ltd; Traktionssysteme Austria GmbH; Toshiba International Corporation.; Other Prominent Players.

Historic Analysis (2020 to 2024) and Future (2025 to 2035) Pathway Analysis for the Railway Traction Motors Market

The market for Railway Traction Motors grew at a growth rate of 4.0% from 2020 to 2024, and by the end of 2024, it was valued at USD 12 Billion. For several governments and authorities around the world, e-mobility is being encouraged to reduce dependence on carbon and internal combustion engines. Being cleaner, electric vehicles not only promote cleaner e-transportation but also encourage the reduction of dependence on fossil fuels.

Historical Report Attributes	Details
Market Size (2020A)	USD 10 Billion
Market Size (2024A)	USD 12 Billion
Historical CAGR (2020 to 2024)	4.0%
Forecasted CAGR (2025 to 2035)	4.8%

• Short Term (2025 to 2028): An increasing number of metro setups in developing economies is likely to increase the use of railway traction motors considerably. As urbanizing populations increase their investment in such mass transit system solutions to lower congestion and create better public transports, the formation of metro lines requires advanced systems of electric tractions that widely depend on such high-performance motors. Because the move towards electrification in rail transport is also in line with the global objectives of sustainability, it will require high performance efficient railway traction motors to sustain this growing metro system. The introduction of metro systems in developing countries deals with urban congestion and maximizes the general efficiency of public transportation. With these countries now focusing on sustainable development, there has been an increased demand for electric mass transit solutions, and the need for advanced railway traction motors has been high. Such motors are highly important for metro trains as they provide the needed power and reliability to cater to the increasing demands of passengers.
• Medium Term (2028 to 2032): The severe requirement for a reduction in greenhouse gas emissions, along with the rise in investment for electric vehicles, is very strongly fueling the demand for both railway and EV traction motors. Rapid shifts toward electrification in these sectors are also happening as the government implements more stringent standards regarding emission levels and green means of transport in every nation. Improvements in battery technology, expanding the charging infrastructure, and greater consumer demand for cleaner alternatives to conventional vehicles drive the industry. Rail operators are upgrading their fleets by electrification and hybrid locomotives for higher operational efficiency and sustainability in railway operations. Thus, there is a huge demand for high-performance traction motors, which are to be significantly contributed in making transportation more sustainable in the near future and are very important for the smooth operation of electric vehicles and trains.
• Long Term (2032 to 2035): Better battery technologies, and the manufacture of battery-electric locomotives, should bring in investments that would facilitate the advancement of the transition process toward more environmentally friendly rail transport systems. Improved materials and designs will lead to smaller, lighter-weight motors and advance the electrification of railroads. Integration of smart technologies and high-efficiency motors will also be a vital element in the evolution of railway traction motors. These improvements will bring efficiency to the operations, cut down the cost of maintenance, and increase the reliability, which will make electric trains more attractive propositions for the rail operators. The use of advanced propulsion technologies, including PMSM and Induction Motors, will find better acceptance and provide better performance with energy efficiency. Innovative cooling concepts and condition monitoring systems will optimize the performance and service life of the motors, a crucial step to increase the capacity of railway systems to meet demand for urban transit and freight transportation. In light of these technological changes, all of which it brings on a sustainability basis with reduced carbon footprint, it enhances the railway traction motor's functionality as well as brings sustainability to the overall goals of transportation.

On the back of the aforementioned facts, the Railway Traction Motors market is anticipated to grow at a CAGR of 4.8% during the forecast period from 2025 to 2035, According to the Fact.MR, a market research and competitive intelligence provider.

Market Dynamics

Why is Demand for Railway Traction Motors Intensifying?

“Superior Performance of Traction Motors in Railways”

The railway is the most preferred and economical mode of mass movement of commodities and products over longer distances. Technological advancements have improved the safety and speed of railway engines and motors. The various advantages of traction motors, including power efficiency, compact design, and durability, encourage their use in railways. Therefore, traction motors have become an integral part of railways.

Traction motors provide easy power delivery to the locomotive wheels, which finally lead to the slow motion of the railways. More power is then used to get more speed. The cargo and the crew and passengers onboard the locomotive are not endangered as a result of this, thus ensuring the safe delivery of the products. Furthermore, the noise is lowered, and the vibration is reduced at increased torque and the acceleration and deceleration of the traction.

This makes the motors mitigate damage during the performance. Thus, superior performances in railways for traction motors are likely to enhance the railway traction motor market.

“Advent of Battery-Electric Locomotives”

The battery-electric locomotive does not apply fossil fuel to create power, directly evading direct emissions, fuel storage, exhaust gases, and noise. Improvement on battery technology has led to the investment involved in creating a battery-electric locomotive for practical applications.

On September 2024, Union Pacific tested hybrid locomotives, which increased pulling power and efficiency, while Norfolk Southern partnered with Alstom to start a hybrid project that can limit emission in freight operations. The other in the limelight is Progress Rail's EMD Joule, where scalable battery capacities can be designed according to railway needs. All these signal growing momentum towards electrification of the rail industry, which continues to drive on technological innovation as well as its commitment to sustainability.

What Difficulties Do Traction Motor Manufacturers Face?

“High Initial Development and Deployment Cost of Traction Motors”

Such an efficient and durable design of the traction motors mandates advanced equipment and technology in all procedures for producing and manufacturing the product.

This would also require very technical skills in optimizing and customizing these traction motors to fit the application, which further raises the cost of producing traction motors.

Country-wise Insights

What Makes Japan and South Korea Major Markets for Railway Traction Motors in East Asia?

“Technological advancements in railway in this region is driving the market”

The market in the East Asia is estimated at USD 3.7 billion in 2025 and is projected to expand at a CAGR of 5.6% through 2035. This market is projected to generate a USD 2.6 billion absolute opportunity from 2025 to 2035.

The demand for railway traction motors in East Asia is significantly high due to the expansion of transportation infrastructures, such as railway connections, metro rail systems, and high-speed bullet trains. Moreover, Japan and South Korea are major markets in East Asia due to the increased investment in railway projects, particularly high-speed rail and metro trains.

What would be the growth prospect of railway traction motors in the United States and Canada?

“Key manufacturers of railway traction motors are concentrating on the creation of more effective electric traction motors to maintain market competitiveness.”

The market in the U.S. is estimated to reach USD 3.4 billion in 2035 at a CAGR of 4.1%. This market is projected to generate a USD 1.1 billion absolute opportunity from 2025 to 2035.

The United States is forecasted to continue as the leader in North America throughout the considered forecast period. Existence of numerous manufacturers in the country and their continued efforts towards developing better traction motors have assisted the market.

It has shifted dramatically. Apart from this, massive urbanization and increasing initiatives to electrify passenger railways have also provided significant impetus to the adoption of railway traction motors in the United States.

Estimated Growth Projections Canada is going to take the second position after the United States. This is also another important market for railway traction motors but at a slower pace than the United States. This is mainly contributed to by the under-electrification of rail networks in the country.

Increased passenger traffic in Canadian railway operations has necessitated capital investment on new railway machinery, including railway traction motors. This would hold the Canadian market at a stable pace through the decade.

Category-wise Insights

Why are AC motors most widely used?

“AC motors have a significantly longer lifespan and need considerably less maintenance than comparable DC motors”

AC motor is expected to have a market share of USD 6.3 billion in 2025 with a projected CAGR of 4.9% for forecast period 2025 to 2035. Railway traction motors can broadly be categorized as three types-DC motors, AC motors and synchronous AC motors.

The most common is AC motors. One of the major advantages of AC motors is that they are relatively inexpensive to manufacture, and for a given power rating, much lighter than a corresponding DC motor. Also, an AC motor is much longer lived and requires much less maintenance compared with a like DC motor.

Depending on the motor used in traction, such as induction or asynchronous, AC motors can be designed and assembled based on application-specific machinery and automobile. Applications such as rail, electric automobiles, industrial machine, and conveyors most employ the current trend of AC motors.

Which Power Rating is most preferred in Railway Traction Motors Market?

“Power Rating of less than 200 kW is generating market growth, indicating larger trends for more sustainable and efficient urban transit solutions”

Power rating of less than 200 KW is expected to have a market value of USD 5.3 billion in 2025, with a projected CAGR of 5.1% for forecast period 2025 to 2035. In this regard, market growth for less than 200 KW power rating is spurred by the growing more urbanized areas and demand for efficient public transport systems, particularly in light rail and metro applications.

It also gets a further boost from increased environmental regulations forcing the use of electric vehicles in the rail industry, which is dominated by low power rating motors. Technological improvement has increased the efficiency and performance of the motors, making them more attractive to the people who want cost-effective solutions to operate the equipment. The power rating in the range of 200-400 kW is also growing due to the commissioning of electric locomotives and regional trains.

Competitive Landscape

Key players in the Railway Traction Motors market are Mitsubishi Electric Corporation, ABB Ltd, ALSTOM Holdings SA, Caterpillar Inc., Bharat Heavy Electricals Limited, Bombardier Inc, Saini Group, Siemens AG, Sulzer Ltd, Traktionssysteme Austria GmbH, Toshiba International Corporation.

In the last few years, several significant developments have been observed in the global railway traction motors market. In addition, leading players in the market are expanding their market presence by using various growth methods such as strategic investments, new product launches, mergers and acquisitions, and alliances.

• On September 2024, Hitachi Industrial Products leads the world's first commercialized copper diecast rotor for railway traction motors, which has greatly developed the lightweight rotors. A significant innovation developed for enhancing the rail system efficiency by performance improvement through electric trains forms a part of the continually developing railway technology.

Fact.MR has provided detailed information about the price points of key manufacturers of Railway Traction Motors positioned across regions, sales growth, production capacity, and speculative technological expansion, in the recently published report.

Segmentation of Railway Traction Motors Industry Research

• By Type :

  • DC Motors
  • AC Motors
  • Synchronous AC Motors

• By Power Rating :

  • Less than 200 kW
  • 200-400kW
  • More than 400 kW

• By Application :

  • Diesel Locomotives
  • Diesel-Electric Locomotives
  • Electric Locomotives
  • Electric Multiple Units (EMUs)

• By Region :

  • North America
  • Latin America
  • Western Europe
  • Eastern Europe
  • East Asia
  • South Asia & Pacific
  • Middle East & Africa