Austrian open access operator Westbahn has strongly criticised what it describes as an oligopoly in the European rail industry, arguing that the lack of competition among train manufacturers ultimately harms operators and passengers alike.
The company’s comments follow its recent announcement that it will introduce new double-decker trains from Chinese manufacturer CRRC on Austria’s Western line. The decision sparked debate within the European rail sector, prompting Westbahn to issue a statement defending the move and calling for a more open market.
“No functioning competition in the European rail industry”
According to Westbahn, the European rolling stock market is dominated by only a few large suppliers, leaving operators with limited choice, long waiting times and escalating costs.
“At present, there is no functioning competition in the European rail industry. The European market for rolling stock is an oligopoly of a few train manufacturers,” the company said. “New trains are hardly available, as waiting times have now reached many years. At the same time, prices are exploding, while individual requirements and innovations in equipment or quality are hardly feasible.”
Westbahn added that the situation cannot be compared to the automotive sector, where entirely different structural challenges exist. “Anyone who wants to buy trains today has hardly any choice, waits for years and pays an exorbitant price dictated by restricted competition. Ultimately, it is the passengers who feel the effects,” the operator stated.
Market imbalance affecting operators and passengers
The company argues that the current lack of competition keeps prices high, limits variety, and leads to extended delivery times. European manufacturers, it noted, are fully booked for years ahead with contracts worth billions of euros, leaving operators with few alternatives.
“There are essentially only two major manufacturers from France and Germany, and an additional emerging supplier from Switzerland,” Westbahn said.
This market imbalance, it warned, forces rail operators to look beyond Europe for suppliers. “The consequences – expensive trains, lack of innovation and long delivery times – affect not only Westbahn but all railway undertakings, and thus also the passengers,” the statement continued.
“Not a breach of the dam”
Westbahn rejected criticism that the introduction of Chinese-built rolling stock represents a “breach of the dam” for Europe’s rail industry.
“To describe the market entry of a new manufacturer as a ‘breach of the dam’ is factually wrong and economically short-sighted,” the company said. “Four trains – or even forty – are completely insignificant in view of a European market comprising thousands of vehicles. Rather, the entry of new suppliers is an opportunity: only through competition do we achieve shorter delivery times, technical progress and fair prices.”
The operator also warned against political interference or protectionism, arguing that these could hinder innovation and efficiency. “Political influence and market closure lead to stagnation – to the detriment of passengers and taxpayers. Genuine competition strengthens the European rail industry and keeps it internationally competitive,” Westbahn concluded.
A call for a more open and innovative market
The four CRRC double-deck trains set to join Westbahn’s fleet are unlikely to transform the European market on their own, the company acknowledged. However, it believes their introduction could serve as a catalyst for wider change.
“The four new trains will not turn the European market upside down,” the operator said. “But they can provide impetus for more competition, innovation and future viability in the rail sector.”
Westbahn’s comments come amid increasing scrutiny of Europe’s rail procurement landscape, as operators struggle with high prices, limited manufacturing capacity and slow delivery schedules. The company’s move to source trains from a non-European supplier underscores the growing pressure for reform – and the potential role that new entrants could play in reshaping the continent’s rail industry.
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