UIRR report: combined freight transport down in 2023

Source: https://www.intermodal-logistics.ro/raport-uirr-transportul-combinat-de-marfa-a-scazut-in-2023  Author: Mariana Patru Combined freight transport in the European Union suffered a 10.57% reduction in the number of shipments in 2023 , translating into a 9.39% loss in tonne-kilometres, according to the UIRR's recently published annual report.In terms of domestic, cross-border and extra-EU transport carried out by UIRR members, there was a uniform decrease, while the share of load unit types did not change.RO-LA transport performed better, registering a 2.7% increase in cross-border transport compared to the previous year.Average distance of rail transport increased to 823 km, from 800 km a year ago, representing an increase of 2.85%.The negative trend with important consequences for intermodal freight transport started in the second half of 2022, with the energy crisis, the UIRR report states.In 2023, increased infrastructure works across Europe had a dramatic impact on freight train capacity and punctuality. Strikes, accidents, and natural disasters have coincided with major disruptions to shipping, international trade, and a weaker economy that requires fewer transportation services.In the first months of 2024, there was no improvement in the situation.Combined transport less competitive than road transportThe competitiveness of combined door-to-door freight has declined compared to long-distance road freight in 2023.The factors that contributed to this decrease in competitiveness were:

• The price of diesel fuel normalized in early 2023, while the price of traction electricity remained higher.
• The decrease in demand for freight transportation has led to the emergence of excess capacity on the market, at prices below cost.
• Member States have delayed the implementation of recently adopted EU legislation aimed at correcting imbalances in the regulatory framework. As a result, the European Commission had to launch dozens of infringement procedures in this regard.

Despite the setbacks, investment programs in intermodal transport such as terminals, wagons, loading units loading units and digitization continued. Despiteloss of approximately 2 million TEU in transport volume over the past 18 months, ongoing investments will bring an additional 4 million TEU capacity for combined freight across Europe. UIRR members are currently investing in the construction of 11 new intermodal terminals.Low performance of rail freight transportThe performance of rail freight transport, which covers the longest section of intermodal transport chains, has become increasingly reduced in 2023, according to the UIRR report.Punctuality has declined due to heavy passenger traffic and infrastructure works, accidents, extreme weather conditions and union action.The inferior detour routes offered to freight trains in combination with the priority given to passenger trains to pass through the sections affected by the works resulted in severe disruption and loss of capacity.The number of construction sites along the European rail network has increased several times, which imposes significant additional costs on operators through sometimes very long detours and a loss of revenue due to frequent train cancellations.The UIRR calls for a prioritization of freight trains that reflects the socio-economic and environmental benefits of these trains, as well as consideration of the transfer of passengers to buses in the areas affected by the works. Unlike them, goods cannot be transferred to trucks on sections affected by line closure or severe capacity reduction.