Austrian industries are set to lose 250 million euros over the planned German rail renovations. The neglected German rail network is crucial for Austrian industrial transportation. The upcoming disruptions and lack of bypasses are a major thorn in the eye of the sector.

Germany is about to renovate large parts of its rail network in the coming years. For example, the Rhine-Danube Corridor will see major renovation works, with a particular focus on the railway near the Passau border crossing. It is a key line for rail freight heading to Austria and countries beyond. Two five-month outages for renovations are set to significantly complicate logistics operations for Austrian industries, leading to additional costs at 250 million euros.

An essential network for Austria

A solid rail connection between Germany’s north and south is essential for the Austrian industrial sector. Goods need to reach the port of Hamburg, which is the most important transshipment node for the Austrian industry. At the moment, 98 per cent of all of the sector’s goods reach the Hamburg port via rail.

Downtime at the vital Passau corridor will greatly hinder Austrian companies. Two five-month periods of renovation works are scheduled in the near future, which means that transport alternatives will have to be found. According to the Austrian Chamber of Commerce, many freight forwarders will be looking at road transportation to fill the gaps.

The Austrian institution foresees a million extra truck journeys as a result of the downtime. “We expect significant transport time extensions and considerable additional operating costs during this period”, representatives add. “For the Austrian industry, the logistics bottlenecks will result in additional costs of up to 250 million euros. The rail transport companies would then definitely need appropriate financial compensation.”

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• DB begins 1.6 billion euro expansion of Hanau-Gelnhausen line