Europe’s Freight Future: Rail Revives, But Is It Enough?

With the reopening of key rail corridors like the Gotthard Base Tunnel and Valencia’s flood-damaged lines, intermodal freight saw a 2.85% growth in Q4 2024. However, infrastructure works and economic sluggishness continue to cast uncertainty over the sector’s outlook.

The normalization of intermodal rail freight operations across Europe in late 2024 was largely driven by improved infrastructure conditions and the absence of labor strikes, according to the latest data from the International Union for Road-Rail Combined Transport (UIRR).

The restored traffic in the Gotthard Base Tunnel and the reopening of flood-damaged rail lines in Valencia helped drive a 2.85% increase in Combined Transport (CT) traffic performance in Q4 2024. However, despite the anticipated resumption of services in France’s Maurienne Valley by March 2025, the large number of ongoing infrastructure works and weak manufacturing output across Europe have kept the UIRR CT Sentiment Index at a neutral rating for the next 12 months.

The role of intermodal transport in European logistics was front and center in Brussels last November, where UIRR introduced Combined Transport to the new European Parliament’s Transport Committee. The event, titled Combined Transport Delivers, served as both an awareness campaign and the launch of the Combined Transport for Europe (CT4EU) initiative, through which the intermodal freight sector is aiming to strengthen its influence on EU policymakers, ensuring that Combined Transport becomes a core pillar of Europe’s supply chain strategy.

UIRR president Ralf-Charley Schultze at the opening of the UIRR - CT4EU exhibition ’COMBINED TRANSPORT DELIVERS’ at the European Parliament: Combined Transport deserves your attention And Combined Transport delivers! pic.twitter.com/wRqqAd9IRh

— CTforEU (@CT4EU) November 9, 2023

New Challenges for Freight and Supply Chain Resilience

Geopolitical and economic pressures continue to reshape Europe’s freight transport needs. Key external factors affecting the sector include:

• The Russian war in Ukraine, which has disrupted logistics networks and increased demand for alternative freight routes.
• Global supply chain disruptions, putting pressure on rail and intermodal freight operations.
• The upcoming European Parliament election’s impact on transport policy, influencing legislative priorities.

In response to these challenges, Combined Transport has proven its value, excelling in efficiency, resilience, labor productivity, and environmental sustainability. By reducing road congestion, emissions, and accident risks, the sector has positioned itself as a crucial tool for boosting Europe’s economic competitiveness.

One of the key messages from UIRR and the CT4EU campaign is that Combined Transport is ready to scale up now—without waiting for new fuel technologies or expensive alternative infrastructure investments. The sector argues that Europe’s existing transport infrastructure is already sufficient to deliver significant supply chain improvements. However, to achieve this potential, UIRR is calling for completion of ongoing EU legislative initiatives affecting Combined Transport and proper enforcement of existing laws that support intermodal freight. These measures, the organization says, will unlock even greater efficiency and sustainability benefits across the European logistics sector.

To push these priorities forward, UIRR has launched the second phase of the CT4EU campaign, focusing on engaging decision-makers and industry leaders through:

• Conferences, trade shows, webinars, and workshops.
• A new podcast series highlighting key developments in intermodal transport.
• Partnerships with national freight and logistics associations to promote Combined Transport at the Member State level.

Recent developments include the signing of new Memorandums of Understanding (MoUs) with industry associations across Europe, strengthening national coordination efforts.

New EU Transport Leadership and the Road Ahead

The year 2025 marks a transition period for European transport policy, as a new College of Commissioners takes office. The newly appointed EU Commissioner for Sustainable Transport, Apostolos Tzitzikostas, will play a key role in finalizing key legislative initiatives for rail and intermodal freight and ensuring Member States properly implement EU transport laws. Meanwhile, the UIRR community is celebrating its 55th anniversary in 2025, marking more than half a century of efforts to advance Combined Transport as a pillar of sustainable freight mobility. With

As Europe works to enhance supply chain resilience, the question remains: Will policymakers act fast enough to ensure intermodal freight plays the central role it deserves?

Source: UIRR Press Release