German industries face billions in losses as rail freight chaos deepens

Freight delays on Deutsche Bahn’s network are causing major disruptions for German industries. Key sectors, including steel and chemicals, are facing significant financial losses due to unreliable rail transport. The situation has forced companies to scale back production and seek alternatives. The steel industry is among the worst affected, with nearly half of its shipments relying on rail. Companies like Salzgitter and ArcelorMittal have reduced production because of delayed ore deliveries. ArcelorMittal’s Eisenhüttenstadt plant now faces critically low ore reserves as a direct result.

The chemical sector is also struggling. Late raw material deliveries and limited storage space have disrupted production. Each year, nearly 25 million tons of chemical products move by train in Germany, making the industry highly dependent on reliable rail services.

Deutsche Bahn has been urged to take immediate action. Improving planning, coordination, and prioritisation of freight trains is seen as essential. One proposed solution is to give freight trains precedence on diversion routes to reduce the impact of disruptions.

The automotive industry has not been spared. A decline in available rail capacity has pushed some manufacturers to switch to road transport, adding costs and complexity. The ongoing rail delays are costing German industries billions. Steel, chemical, and automotive sectors are all feeling the strain. Without swift changes to freight management, the economic impact is likely to worsen.