DB Cargo (previously known as Railion and DB Schenker Rail) is an international
transport
Transport (in British English), or transportation (in American English), is the intentional movement of humans, animals, and goods from one location to another. Modes of transport include air, land (rail and road), water, cable, pipeline, an ...
and
logistics
Logistics is generally the detailed organization and implementation of a complex operation. In a general business sense, logistics manages the flow of goods between the point of origin and the point of consumption to meet the requirements of ...
company
A company, abbreviated as co., is a Legal personality, legal entity representing an association of people, whether Natural person, natural, Legal person, legal or a mixture of both, with a specific objective. Company members share a common p ...
. It is responsible for all of the
rail freight transport
Rail freight transport is the use of railroads and trains to transport cargo as opposed to human passengers.
A freight train, cargo train, or goods train is a group of freight cars (US) or goods wagons (International Union of Railways) hauled ...
activities of the German railway company
Deutsche Bahn
The (; abbreviated as DB or DB AG) is the national railway company of Germany. Headquartered in the Bahntower in Berlin, it is a joint-stock company ( AG). The Federal Republic of Germany is its single shareholder.
describes itself as the se ...
(the DB Group) both inside Germany and on a global level. DB Cargo has a registered office in
Mainz
Mainz () is the capital and largest city of Rhineland-Palatinate, Germany.
Mainz is on the left bank of the Rhine, opposite to the place that the Main (river), Main joins the Rhine. Downstream of the confluence, the Rhine flows to the north-we ...
and a further administrative office in
Frankfurt am Main
Frankfurt, officially Frankfurt am Main (; Hessian: , "Frank ford on the Main"), is the most populous city in the German state of Hesse. Its 791,000 inhabitants as of 2022 make it the fifth-most populous city in Germany. Located on its na ...
.
The company was founded as ''DB Cargo AG'' on 1 January 1999 under the second stage of liberalisation reform of the
German railway
, Germany had a railway network of , of which were electrified and were double track. Germany is a member of the International Union of Railways (UIC). The UIC Country Code for Germany is 80.
Germany was ranked fourth among national European ...
system (Bahnreform) underway around this time. Initial operations were primarily focused on the rail freight market within Germany; however, during early 2000, the company was reorganised under the ''Railion'' holding company as part of a merger between DB Cargo and the Dutch state-owned rail company
Nederlanse Spoorwegen's rail freight operations. This new structure was designed for the cooperation, and incorporation, of future partnerships with other rail freight companies; between 2004 and 2009, Railion expanded its operations into
Italy
Italy ( it, Italia ), officially the Italian Republic, ) or the Republic of Italy, is a country in Southern Europe. It is located in the middle of the Mediterranean Sea, and its territory largely coincides with the homonymous geographical re ...
,
Switzerland
). Swiss law does not designate a ''capital'' as such, but the federal parliament and government are installed in Bern, while other federal institutions, such as the federal courts, are in other cities (Bellinzona, Lausanne, Luzern, Neuchâtel ...
, and
Poland
Poland, officially the Republic of Poland, is a country in Central Europe. It is divided into 16 administrative provinces called voivodeships, covering an area of . Poland has a population of over 38 million and is the fifth-most populous ...
, typically via acquisitions. Following the acquisition of
Schenker AG
Schenker AG is a German logistics company and a subsidiary of Deutsche Bahn, the German railway company. Within DB Logistics, the logistics branch of Deutsche Bahn, Schenker is responsible for land, sea, and air transport and contract logistics. ...
in the early 2000s, the company was restructured again and adopted the ''DB Schenker Rail'' branding. During 2016, to indicate its core focus on rail freight transportation, the company was once more rebranded as ''DB Cargo AG''; this naming scheme has been progressively replicated across the majority of its international subsidiaries as well.
The services provided by DB Cargo include both
block train and single
wagonload
In rail freight transportation the terms wagonload or wagonload freight refer to trains made of single wagon consignments of freight. In the US and Canada the term carload refers to a single car of any kind, and manifest train refers to trains mad ...
transport services, the latter of which have been abandoned by many of the company's rivals. Based on the number of kilometres travelled, DB Cargo is the
market leader
Market dominance describes when a firm can control markets. A dominant firm possesses the power to affect competition and influence market price. A firms' dominance is a measure of the power of a brand, product, service, or firm, relative to ...
in both Germany and Europe, although its transport services have been in decline for several years. Seeking to reverse this decline, a more flexible price structure was adopted alongside various cost-cutting measures in 2016. During the early 2020s, major global events such as the
COVID-19
Coronavirus disease 2019 (COVID-19) is a contagious disease caused by a virus, the severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2). The first known case was COVID-19 pandemic in Hubei, identified in Wuhan, China, in December ...
pandemic
A pandemic () is an epidemic of an infectious disease that has spread across a large region, for instance multiple continents or worldwide, affecting a substantial number of individuals. A widespread endemic (epidemiology), endemic disease wi ...
and the
2022 Russian invasion of Ukraine
On 24 February 2022, in a major escalation of the Russo-Ukrainian War, which began in 2014. The invasion has resulted in tens of thousands of deaths on both sides. It has caused Europe's largest refugee crisis since World War II. An ...
have challenged the company and driven changes. Within the context of the battle against
climate change
In common usage, climate change describes global warming—the ongoing increase in global average temperature—and its effects on Earth's climate system. Climate change in a broader sense also includes previous long-term changes to E ...
, however, the role of DB Cargo is also thought to be increasingly important, as the company offers transport options that are entirely
carbon neutral
Carbon neutrality is a state of net-zero carbon dioxide emissions. This can be achieved by balancing emissions of carbon dioxide with its removal (often through carbon offsetting) or by eliminating emissions from society (the transition to the "p ...
. However, the company has been criticised for a lack of investment into both its
rolling stock
The term rolling stock in the rail transport industry refers to railway vehicles, including both powered and unpowered vehicles: for example, locomotives, freight and passenger cars (or coaches), and non-revenue cars. Passenger vehicles can b ...
and infrastructure, and thus constraining its performance. In late 2019, Sigrid Evelyn Nikutta took on the role of
CEO
A chief executive officer (CEO), also known as a central executive officer (CEO), chief administrator officer (CAO) or just chief executive (CE), is one of a number of corporate executives charged with the management of an organization especially ...
of DB Cargo.
History
German rail reform
At the end of the 1990s, the operational business of Deutsche Bahn was reorganised into five legally independent
joint-stock companies
A joint-stock company is a business entity in which shares of the company's stock can be bought and sold by shareholders. Each shareholder owns company stock in proportion, evidenced by their shares (certificates of ownership). Shareholders are ...
. This measure formed part of the second stage of the German rail reform. Within the scope of this restructuring, a precursor company was initially established in 1997, which had the purpose of facilitating a transformation of the entity's rail freight transport division structured under
public law
Public law is the part of law that governs relations between legal persons and a government, between different institutions within a state, between different branches of governments, as well as relationships between persons that are of direct ...
into a private enterprise company. Accordingly, on 1 January 1999, the company ''DB Cargo AG'' was ultimately founded to undertake these operations. The
headquarters
Headquarters (commonly referred to as HQ) denotes the location where most, if not all, of the important functions of an organization are coordinated. In the United States, the corporate headquarters represents the entity at the center or the to ...
of DB Cargo AG were established in Mainz.
European expansion
At first, DB Cargo solely focused on its domestic activities. Accordingly, the Deutsche Bahn Group produced investment plans that directed billions in its subsidiary in order to improve its position in the German transport and logistics market. As the competitive environment with other European providers became increasingly challenging in the late 1990s, Deutsche Bahn (DB) and the Dutch state-owned rail company
Nederlanse Spoorwegen (NS) announced plans to merge their rail freight transport activities in 1998.
Together, DB Cargo and NS Cargo reached revenues of around 6.9 billion
Deutsche Mark
The Deutsche Mark (; English: ''German mark''), abbreviated "DM" or "D-Mark" (), was the official currency of West Germany from 1948 until 1990 and later the unified Germany from 1990 until the adoption of the euro in 2002. In English, it was ...
(3.5 billion euros) and had roughly 50,000 employees. Their amalgamation was the first ever cross-border rail merger, in which Deutsche Bahn retained its majority share of 94%. A financial
holding company
A holding company is a company whose primary business is holding a controlling interest in the securities of other companies. A holding company usually does not produce goods or services itself. Its purpose is to own shares of other companies ...
, ''Railion GmbH'', was created for this new company, and commenced operations during early 2000.
Internationalisation
The successful creation and launch of Railion laid the foundation for the establishment of a leading European transport and logistics company. Specifically, from the onset, the organisation was open to the incorporation of further partners. While the
European Commission
The European Commission (EC) is the executive of the European Union (EU). It operates as a cabinet government, with 27 members of the Commission (informally known as "Commissioners") headed by a President. It includes an administrative body o ...
and
European Parliament
The European Parliament (EP) is one of the legislative bodies of the European Union and one of its seven institutions. Together with the Council of the European Union (known as the Council and informally as the Council of Ministers), it adopts ...
aimed to promote competition among providers, the providers themselves instead opted to foster cooperation. During 2001, the Danish state-owned rail company
Danske Statsbaner
DSB, an abbreviation of ''Danske Statsbaner'' (, ''Danish State Railways''), is the largest Danish train operating company, and the largest in Scandinavia. While DSB is responsible for passenger train operation on most of the Danish railways, goo ...
(DSB) opted to merge its rail freight transport activities into the joint venture, becoming its third partner and received shares totalling 2% in Railion in return, thus decreasing the stake of Deutsche Bahn in the venture to 92%.
The
cooperation
Cooperation (written as co-operation in British English) is the process of groups of organisms working or acting together for common, mutual, or some underlying benefit, as opposed to working in competition for selfish benefit. Many animal a ...
between DB, NS and DSB has reportedly played an essential role in Deutsche Bahn's long-term strategy for expansion in other European countries. This strategy covered not only state-owned rail companies but also the acquisition of private sector rivals, for example in
Italy
Italy ( it, Italia ), officially the Italian Republic, ) or the Republic of Italy, is a country in Southern Europe. It is located in the middle of the Mediterranean Sea, and its territory largely coincides with the homonymous geographical re ...
(2004),
Switzerland
). Swiss law does not designate a ''capital'' as such, but the federal parliament and government are installed in Bern, while other federal institutions, such as the federal courts, are in other cities (Bellinzona, Lausanne, Luzern, Neuchâtel ...
(2007) and
Poland
Poland, officially the Republic of Poland, is a country in Central Europe. It is divided into 16 administrative provinces called voivodeships, covering an area of . Poland has a population of over 38 million and is the fifth-most populous ...
(2009). These were joined by a multitude of smaller acquisitions such as the transport and logistics divisions of
RAG AG
RAG AG, formerly Ruhrkohle AG, is the largest German coal mining corporation. The company headquarters are in Essen in the Ruhr area. The company was founded on 27 November 1968, consolidating several coalmining corporations into the Ruhrko ...
. In Sweden, where Deutsche Bahn was unable to acquire its chosen target,
the company instead focused on establishing collaborative ventures.
At the end of the 2000s, Railion was therefore able to not only offer connections across large stretches of Europe running from north to south, but reliably serve rail route that run from west to east as well.
Despite this expansion into the rai freight sectors of several neighbouring nations, the presence of effective competition to provide freight services had reportedly made a negative impact on the company's economic development by May 2005. Recognising the company's unfavourable financial position, Deutsche Bahn opted to respond by enacting numerous cost-saving measures; these were credited with a significant improvement in Railion's circumstances. During 2010, the rail freight transport crisis was initially deemed to have been largely resolved.
Linking rail and road
During early 2003, Deutsche Bahn transferred its share in Railion to the (which later became ''DB Mobility Logistics''). After the successful
acquisition of the then-listed logistics company ''Stinnes'', including its freight forwarding subsidiary
Schenker AG
Schenker AG is a German logistics company and a subsidiary of Deutsche Bahn, the German railway company. Within DB Logistics, the logistics branch of Deutsche Bahn, Schenker is responsible for land, sea, and air transport and contract logistics. ...
, a restructuring of responsibilities took place within Deutsche Bahn. Subsequently, DB Cargo, NS Cargo and most of the other Railion companies solely focused on freight forwarding while Stinnes and Schenker took on central tasks in the fields of rail freight transport and sales. By consolidating all of its transport and logistics activities, Deutsche Bahn also aimed to achieve growth in the freight transport domain. The company adjusted its image to reflect this aim and as a result, DB Cargo was renamed ''Railion Deutschland''.
At this point, the general objective pursued by Deutsche Bahn was to better cover the entire transport chain with all transportation means and routes. Over the years that followed, however, this approach mainly resulted in a shift of its freight transport activities away from the rails and towards the road network instead. The company realised that it needed to improve the links between its rail and
road transport
Road transport or road transportation is a type of transport using roads. Transport on roads can be roughly grouped into the transportation of goods and transportation of people. In many countries licensing requirements and safety regulations e ...
in particular, and securing acquisitions was one way to do so. In 2009, Deutsche Bahn abandoned the Railion brand and instead chose to consolidate all of its rail freight transport activities under the name DB Schenker Rail. At the time, its
organisational structure
An organizational structure defines how activities such as task allocation, coordination, and supervision are directed toward the achievement of organizational aims.
Organizational structure affects organizational action and provides the foundat ...
remained unchanged. Media reports, however, already began to speculate about a stock market launch of the newly formed DB Schenker division.
Company restructuring
During the 2010s, the business operations of DB Schenker Rail experienced a significant decline. One of the primary factors behind this decline was the economic slump that had followed the
global economic and financial crisis. The company initially responded to this negative development by introducing a more flexible price structure. It aimed to use a combination of block trains for large clients and bookings of single wagons to establish a fixed timetable that would in turn increase the capacity utilisation of its trains. Other measures considered included the closure of numerous freight railway stations in order to reduce fixed costs, and efforts to reduce staff headcount at all levels of the business.
News of these cost reduction measures was quickly met with sharp criticism by various
trade union
A trade union (labor union in American English), often simply referred to as a union, is an organization of workers intent on "maintaining or improving the conditions of their employment", ch. I such as attaining better wages and benefits ( ...
s; their opposition included demands that the approach be abandoned immediately, and accusations of the company's mismanagement. Following several months of negotiations, the Deutsche Bahn Group and its
works council
A works council is a shop-floor organization representing workers that functions as a local/firm-level complement to trade unions but is independent of these at least in some countries. Works councils exist with different names in a variety of re ...
finally agreed on a
restructuring
Restructuring is the corporate management term for the act of reorganizing the legal, ownership, operational, or other structures of a company for the purpose of making it more profitable, or better organized for its present needs. Other reasons ...
programme for DB Cargo during February 2007. Under this programme, the previously-proposed across-the-board job cuts that year were avoided,
instead, the new approach aimed for the gradual reduction of headcount over a period of several years. On the whole, the company retained its ambition to grow its freight transport activities.
To reflect the company's focus on its core business activities in the domain of rail freight transport, it was again renamed, adopting the ''DB Cargo AG'' designation in early 2016. The name was also readopted for its most important German and international subsidiaries and continues to apply in the present day. Accordingly, DB Cargo and DB Schenker are equal sister companies within the integrated rail system of the DB Group.
Recent developments
According to media reports, DB Cargo reduced its fleet size by nearly one half in the 2000s and 2010s. The remaining
locomotive
A locomotive or engine is a rail transport vehicle that provides the Power (physics), motive power for a train. If a locomotive is capable of carrying a payload, it is usually rather referred to as a multiple unit, Motor coach (rail), motor ...
s were increasingly replaced by
multi-system models that can also be used in the international rail network. Furthermore, the company also equipped its inventory of wagons with whisper brakes, which had reportedly halved the
noise pollution
Noise pollution, also known as environmental noise or sound pollution, is the propagation of noise with ranging impacts on the activity of human or animal life, most of them are harmful to a degree. The source of outdoor noise worldwide is main ...
generated by the movement of its freight trains. Another area of investment by the company has been the addition of state-of-the-art sensors and telematics, which has reportedly been responsible for improvements in its competitiveness. Seeking to progress developments in this area, between 2016 and 2019, DB Cargo played a leading role in the "Innovative
Freight Wagons"
research project
Research is "creative and systematic work undertaken to increase the stock of knowledge". It involves the collection, organization and analysis of evidence to increase understanding of a topic, characterized by a particular attentiveness t ...
conducted on behalf of the
German Federal Ministry of Transport and Digital Infrastructure (BWVI). Although the wagons used by DB Cargo have generally become older in recent years, they have also increased in size so that they can transport larger quantities of goods.
As of 2020, the majority of freight is still being transported by road, DB Cargo stands to gain from the increased interest in its services due to the expectation that rail freight transport will play an essential role in achieving climate targets. Within this context and based on expert opinions, in September 2019, the German Federal Government announced plans to transfer millions of lorry trips from road to rail, although similar attempts made in previous years had reportedly achieved little progress. One of the main measures planned towards achieving this aim is the gradual optimisation of train drivers' productivity. The current changes being implemented at DB Cargo form part of the strategy to strengthen Deutsche Bahn in its entirety that was launched in 2019.
During the
global outbreak of the novel respiratory disease
COVID-19
Coronavirus disease 2019 (COVID-19) is a contagious disease caused by a virus, the severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2). The first known case was COVID-19 pandemic in Hubei, identified in Wuhan, China, in December ...
, which hindered cross-border logistics due to limitations in the area of
passenger
A passenger (also abbreviated as pax) is a person who travels in a vehicle, but does not bear any responsibility for the tasks required for that vehicle to arrive at its destination or otherwise operate the vehicle, and is not a steward. The ...
and
goods transport, the company was able to secure its transport operations successfully. DB Cargo provided additional capacities for transporting supplies for the population, especially
food
Food is any substance consumed by an organism for nutritional support. Food is usually of plant, animal, or fungal origin, and contains essential nutrients, such as carbohydrates, fats, proteins, vitamins, or minerals. The substance is inge ...
and
hygiene
Hygiene is a series of practices performed to preserve health.
According to the World Health Organization (WHO), "Hygiene refers to conditions and practices that help to maintain health and prevent the spread of diseases." Personal hygiene refer ...
products. The running of large special freight services, such as the "Pasta Express" from Italy, attracted considerable media attention. Shortly after the start of the
2022 Russian invasion of Ukraine
On 24 February 2022, in a major escalation of the Russo-Ukrainian War, which began in 2014. The invasion has resulted in tens of thousands of deaths on both sides. It has caused Europe's largest refugee crisis since World War II. An ...
, DB Cargo started hauling aid from across Europe to
Ukraine
Ukraine ( uk, Україна, Ukraïna, ) is a country in Eastern Europe. It is the second-largest European country after Russia, which it borders to the east and northeast. Ukraine covers approximately . Prior to the ongoing Russian inv ...
; however, military officials have issued warnings that DB Cargo lacks sufficient capacity to meet the needs of a large scale military conflict in Eastern Europe.
Organisational structure
DB Cargo AG, a
public limited company
A public limited company (legally abbreviated to PLC or plc) is a type of public company under United Kingdom company law, some Commonwealth of Nations, Commonwealth jurisdictions, and the Republic of Ireland. It is a limited liability company ...
under German law, acts as a holding company for the operational entities. Its corporate purpose covers rail and road services for the transportation of all kinds of goods and the procurement and operation of stationary and mobile means of transport such as
locomotive
A locomotive or engine is a rail transport vehicle that provides the Power (physics), motive power for a train. If a locomotive is capable of carrying a payload, it is usually rather referred to as a multiple unit, Motor coach (rail), motor ...
s,
railcar
A railcar (not to be confused with a railway car) is a self-propelled railway vehicle designed to transport passengers. The term "railcar" is usually used in reference to a train consisting of a single coach (carriage, car), with a drive ...
s,
wagon
A wagon or waggon is a heavy four-wheeled vehicle pulled by draught animals or on occasion by humans, used for transporting goods, commodities, agricultural materials, supplies and sometimes people.
Wagons are immediately distinguished from ...
s and other
containers
A container is any receptacle or enclosure for holding a product used in storage, packaging, and transportation, including shipping.
Things kept inside of a container are protected on several sides by being inside of its structure. The term ...
. Its
articles of association
In corporate governance, a company's articles of association (AoA, called articles of incorporation in some jurisdictions) is a document which, along with the memorandum of association (in cases where it exists) form the company's constituti ...
also cover related services. The holding company is entitled to carry out all activities deemed to serve the specified business purpose either directly or indirectly. This includes the establishment and management of companies and the acquisition of other companies.
Owners
DB Cargo AG has a
share capital
A corporation's share capital, commonly referred to as capital stock in the United States, is the portion of a corporation's equity that has been derived by the issue of shares in the corporation to a shareholder, usually for cash. "Share capita ...
of 256,007,000,000 euros, which is divided into 51,201,400 no-par value
bearer shares
A bearer instrument is a document that entitles the holder of the document to rights of ownership or title (property), title to the underlying property, such as share (finance), shares or Bond (finance), bonds. Unlike normal registered instruments, ...
. When it transferred the assets and liabilities of its former freight transport division as part of the spin-off for the establishment of a new company, Deutsche Bahn AG acquired all of the company's shares and is therefore the sole
shareholder
A shareholder (in the United States often referred to as stockholder) of a corporation is an individual or legal entity (such as another corporation, a body politic, a trust or partnership) that is registered by the corporation as the legal own ...
of DB Cargo AG. A control and profit-and-loss-transfer agreement is in place between the
parent company
A holding company is a company whose primary business is holding a controlling interest in the securities of other companies. A holding company usually does not produce goods or services itself. Its purpose is to own shares of other companies ...
and
subsidiary
A subsidiary, subsidiary company or daughter company is a company owned or controlled by another company, which is called the parent company or holding company. Two or more subsidiaries that either belong to the same parent company or having a s ...
. DB Cargo AG is included in the consolidated
financial statement
Financial statements (or financial reports) are formal records of the financial activities and position of a business, person, or other entity.
Relevant financial information is presented in a structured manner and in a form which is easy to un ...
of Deutsche Bahn. The company Deutsche Bahn AG is in turn wholly owned by the
Federal Republic of Germany
Germany,, officially the Federal Republic of Germany, is a country in Central Europe. It is the second most populous country in Europe after Russia, and the most populous member state of the European Union. Germany is situated between ...
.
Management
Management board
The
Board of Management
A board of directors (commonly referred simply as the board) is an executive committee that jointly supervises the activities of an organization, which can be either a for-profit or a nonprofit organization such as a business, nonprofit organiz ...
of DB Cargo AG is composed of at least two people, one of whom is responsible for staff-related and social matters in connection with employees. Otherwise, the
Supervisory Board
In corporate governance, a governance board also known as council of delegates are chosen by the stockholders of a company to promote their interests through the governance of the company and to hire and fire the board of directors.
In civil s ...
determines the number and identities of the members of the Board of Management The current Members of the DB Cargo AG Board of Management are Sigrid Evelyn Nikutta (
Chairwoman
The chairperson, also chairman, chairwoman or chair, is the presiding officer of an organized group such as a board, committee, or deliberative assembly. The person holding the office, who is typically elected or appointed by members of the grou ...
), Ursula Biernert (Human Resources), Thorsten Dieter (Service), Ralf Günter Kloß (Production), Martina Niemann (Finance/Controlling) and Pierre Timmermans (Sales). The percentage of women on the board exceeds the average value of other German companies.
Supervisory board
The supervisory board of DB Cargo AG has 20 members. It is composed of shareholder and employee representatives in equal measure, who are elected according to the regulations of the and . The supervisory board currently has six female and 14 male members. Its chairman is , who has been the CEO of Deutsche Bahn since 2017. The vice-chairman is Martin Burkert, a member of the board of the (EVG). Claus Weselsky, chairman of the
German Train Drivers' Union (GDL), is another member of the supervisory board, which therefore contains representatives from the two leading trade unions for the rail industry in Germany.
Companies
The business operations of DB Cargo are divided into three regions: Germany,
Central Europe
Central Europe is an area of Europe between Western Europe and Eastern Europe, based on a common historical, social and cultural identity. The Thirty Years' War (1618–1648) between Catholicism and Protestantism significantly shaped the area' ...
and
Western
Western may refer to:
Places
*Western, Nebraska, a village in the US
*Western, New York, a town in the US
*Western Creek, Tasmania, a locality in Australia
*Western Junction, Tasmania, a locality in Australia
*Western world, countries that id ...
&
Eastern Europe
Eastern Europe is a subregion of the Europe, European continent. As a largely ambiguous term, it has a wide range of geopolitical, geographical, ethnic, cultural, and socio-economic connotations. The vast majority of the region is covered by Russ ...
. The German company DB Cargo AG is responsible for both operational services in the field of rail freight transport in Germany and central functions such as production, sales, finance and human resources for the entire DB Cargo Group.
During 2010, Deutsche Bahn joined several other railway companies in becoming a partner of the European , represented by its subsidiary DB Schenker Rail (now DB Cargo). Ever since it was established, the alliance has focused on the objective of making single wagonload transport, namely freight trains with wagons used by different clients, a more competitive alternative to lorry transport. Xrail also aims to achieve more customer-friendly service, efficiency and punctuality in cross-border transport, for example with its universal booking system, ''Xrail Capacity Booking'' (XCB).
Rail freight transport
Within the Deutsche Bahn Group, DB Cargo is mainly responsible for the following
subsidiary
A subsidiary, subsidiary company or daughter company is a company owned or controlled by another company, which is called the parent company or holding company. Two or more subsidiaries that either belong to the same parent company or having a s ...
and sister
companies
A company, abbreviated as co., is a legal entity representing an association of people, whether natural, legal or a mixture of both, with a specific objective. Company members share a common purpose and unite to achieve specific, declared go ...
, all of which are directly involved in the domain of rail freight transport:
* DB Cargo Belgium,
Antwerp
Antwerp (; nl, Antwerpen ; french: Anvers ; es, Amberes) is the largest city in Belgium by area at and the capital of Antwerp Province in the Flemish Region. With a population of 520,504, , Belgium
* DB Cargo Bulgaria,
Pirdop
Pirdop ( bg, Пирдоп ) is a town located in South-West Bulgaria in Pirdop Municipality of Sofia Province in the southeastern part of the Zlatitsa - Pirdop Valley at 670 m above sea level. It is surrounded by the Balkan Range (also known as t ...
, Bulgaria
* DB Cargo Czechia,
Ostrava
Ostrava (; pl, Ostrawa; german: Ostrau ) is a city in the north-east of the Czech Republic, and the capital of the Moravian-Silesian Region. It has about 280,000 inhabitants. It lies from the border with Poland, at the confluences of four rive ...
, Czech Republic
* DB Cargo Danmark,
Taastrup
Taastrup () is a Danish railway town or/and suburb of Copenhagen - 15 km west of the capital's city centre, and formerly the administrative seat of Høje-Taastrup Municipality, Region Hovedstaden. It takes its name from the village of Taastru ...
, Denmark (formerly DSB Cargo)
* DB Cargo Eurasia GmbH,
Berlin
Berlin ( , ) is the capital and largest city of Germany by both area and population. Its 3.7 million inhabitants make it the European Union's most populous city, according to population within city limits. One of Germany's sixteen constitue ...
, Germany (formerly Trans-Eurasia Logistics)
*
DB Cargo France
DB Cargo France is a French rail freight operator. It is presently a subsidiary of the German state-owned logistics company DB Cargo.
DB Cargo France was originally established as Euro Cargo Rail (ECR) in early 2005 by the British freight compa ...
,
Paris
Paris () is the capital and most populous city of France, with an estimated population of 2,165,423 residents in 2019 in an area of more than 105 km² (41 sq mi), making it the 30th most densely populated city in the world in 2020. S ...
, France (formerly Euro Cargo Rail)
* DB Cargo Hungária,
Győr
Győr ( , ; german: Raab, links=no; names of European cities in different languages: E-H#G, names in other languages) is the main city of northwest Hungary, the capital of Győr-Moson-Sopron County and Western Transdanubia, Western Transdanubia ...
, Hungary
* DB Cargo Italia,
Novate Milanese, Italy (formerly SFM Strade Ferrate del Mediterraneo)
* DB Cargo Nederland,
Utrecht
Utrecht ( , , ) is the List of cities in the Netherlands by province, fourth-largest city and a List of municipalities of the Netherlands, municipality of the Netherlands, capital and most populous city of the Provinces of the Netherlands, pro ...
, Netherlands (formerly NS Cargo)
*
DB Cargo Polska
DB Cargo Polska (formerly DB Schenker Rail Polska and PCC Rail) is a Polish company operating mainly in rail freight transportation. It is presently owned by the German state railway company Deutsche Bahn (DB).
The primary materials transported b ...
,
Zabrze
Zabrze (; German: 1915–1945: ''Hindenburg O.S.'', full form: ''Hindenburg in Oberschlesien'', Silesian: ''Zŏbrze'', yi, זאַבזשע, Zabzhe) is an industrial city in Silesia in southern Poland, near Katowice. The west district of the Sil ...
, Poland (formerly PCC Rail)
* DB Cargo Romania,
Timișoara
), City of Roses ( ro, Orașul florilor), City of Parks ( ro, Orașul parcurilor)
, image_map = Timisoara jud Timis.svg
, map_caption = Location in Timiș County
, pushpin_map = Romania#Europe
, pushpin_ ...
, Romania
* DB Cargo Russija,
Moscow
Moscow ( , US chiefly ; rus, links=no, Москва, r=Moskva, p=mɐskˈva, a=Москва.ogg) is the capital and largest city of Russia. The city stands on the Moskva River in Central Russia, with a population estimated at 13.0 million ...
, Russia
* DB Cargo Schweiz,
Basel
, french: link=no, Bâlois(e), it, Basilese
, neighboring_municipalities= Allschwil (BL), Hégenheim (FR-68), Binningen (BL), Birsfelden (BL), Bottmingen (BL), Huningue (FR-68), Münchenstein (BL), Muttenz (BL), Reinach (BL), Riehen (BS ...
, Switzerland (formerly BRS Brunner Railway Services)
*
DB Cargo UK
DB Cargo UK (formerly DB Schenker Rail UK and English, Welsh & Scottish Railway (EWS)), is a British rail freight company headquartered in Doncaster, England.
The company was established in early 1995 as ''North & South Railways'', successful ...
,
Doncaster
Doncaster (, ) is a city in South Yorkshire, England. Named after the River Don, it is the administrative centre of the larger City of Doncaster. It is the second largest settlement in South Yorkshire after Sheffield. Doncaster is situated in ...
, United Kingdom
*
Transfesa (Transportes Ferroviarios Especiales),
Madrid
Madrid ( , ) is the capital and most populous city of Spain. The city has almost 3.4 million inhabitants and a metropolitan area population of approximately 6.7 million. It is the second-largest city in the European Union (EU), and ...
, Spain
Service companies
These are joined by further companies that have special responsibilities in areas such as sales, transporting
dangerous goods
Dangerous goods, abbreviated DG, are substances that when transported are a risk to health, safety, property or the environment. Certain dangerous goods that pose risks even when not being transported are known as hazardous materials ( syllabi ...
and combining traffic flows:
* DB Cargo BTT
* DB Cargo Logistics
* DB Intermodal Services
* TFG Transfracht
* Transa Spedition
Services
Service catalogue
The service catalogue of DB Cargo consists of a wide variety of basic, additional and special services. The company's core products particularly include block train and single wagonload transport services, the combination of rail and road, and carbon-neutral transport, for example for
Audi
Audi AG () is a German automotive manufacturer of luxury vehicles headquartered in Ingolstadt, Bavaria, Germany. As a subsidiary of its parent company, the Volkswagen Group, Audi produces vehicles in nine production facilities worldwide.
Th ...
. The latter is becoming increasingly important given that rail transport currently has the lowest carbon emissions of all carriers and also achieved the largest savings in recent years (1995–2015).
The company additionally offers a wide range of industry solutions, for example for the
chemicals industry
The chemical industry comprises the companies that produce industrial chemicals. Central to the modern world economy, it converts raw materials (oil, natural gas, air, water, metals, and minerals) into more than 70,000 different products. The ...
and the
timber
Lumber is wood that has been processed into dimensional lumber, including beams and planks or boards, a stage in the process of wood production. Lumber is mainly used for construction framing, as well as finishing (floors, wall panels, wi ...
and
building material
Building material is material used for construction. Many naturally occurring substances, such as clay, rock (geology), rocks, sand, wood, and even twigs and leaves, have been used to construct buildings. Apart from naturally occurring materia ...
s trades. DB Cargo is also active on an international level. Its global operations particularly focus on transport between Europe and Asia, where the company has an extensive network. Its service portfolio also includes related services such as the sale and rental of locomotives and wagons.
Key figures
In the 2018 business year, DB Cargo transported more than 255 million tonnes of goods in 2,686
traction units and 82,895
goods wagon
Goods wagons or freight wagons (North America: freight cars), also known as goods carriages, goods trucks, freight carriages or freight trucks, are unpowered railway vehicles that are used for the transportation of cargo. A variety of wagon type ...
s. Leased or hired materials are factored into these totals. The company provided its services on around 4,200 sidings belonging to clients in Germany, Denmark, Italy, the Netherlands and Switzerland. It transported goods along a route network covering a total of 33,000 kilometres in Germany and, according to calculations by the (BAG), achieved an average punctuality rate of 72.9% when providing these services.
Criticism
During 2019, DB Cargo was reportedly operating at a loss. Critics have accused Deutsche Bahn of having neglected the necessary maintenance work on, and the modernisation of, DB Cargo's
infrastructure
Infrastructure is the set of facilities and systems that serve a country, city, or other area, and encompasses the services and facilities necessary for its economy, households and firms to function. Infrastructure is composed of public and priv ...
; claims have also been made that the comparably high average age of its locomotives and wagons is a prime example of this problem. In September 2019, the German Federal Ministry of Transport and Digital Infrastructure (BMVI) responded to criticism by the
German Federal Court of Auditors regarding the company's lack of investments by arguing that DB Cargo and other segments had yet to exhaust their full potential.
During mid 2022, the
European Commission
The European Commission (EC) is the executive of the European Union (EU). It operates as a cabinet government, with 27 members of the Commission (informally known as "Commissioners") headed by a President. It includes an administrative body o ...
(EC) conducted an investigation into the allegedly unfair provision of
state aid to DB Cargo from the German government. Limited amounts of state aid, such as to offset the abnormal economic conditions caused by the
COVID-19
Coronavirus disease 2019 (COVID-19) is a contagious disease caused by a virus, the severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2). The first known case was COVID-19 pandemic in Hubei, identified in Wuhan, China, in December ...
pandemic
A pandemic () is an epidemic of an infectious disease that has spread across a large region, for instance multiple continents or worldwide, affecting a substantial number of individuals. A widespread endemic (epidemiology), endemic disease wi ...
, have been approved by the EC in the past.
Single wagonload transport have played a special role in the economic development of DB Cargo and the wider rail freight sector alike. In the late 2010s, experts were issuing demands that the company subsidise its activities, or shrink its business, in this area in order to remain a strong competitive alternative to lorry transport.
See also
*
Transportation in Germany
As a densely populated country in a central location in Europe and with a developed economy, Germany has a dense transport infrastructure.
One of the first limited-access highway systems in the world to have been built, the extensive Germ ...
*
Transportation in the Netherlands
The Netherlands is both a very densely populated and a highly developed country in which transport is a key factor of the economy. Correspondingly it has a very dense and modern infrastructure, facilitating transport with road, rail, air an ...
References
External links
Official websiteof DB Cargo
DB Cargo Business Unitat Deutsche Bahn (the DB Group)
{{Authority control
Companies based in Mainz
Deutsche Bahn
Logistics companies of Germany
Rail freight companies in the United Kingdom
Railway companies established in 2009
Railway companies of Belgium
Railway companies of Bulgaria
Railway companies of Denmark
Railway companies of France
Railway companies of Hungary
Railway companies of Italy
Railway companies of Poland
Railway companies of Romania
Railway companies of Russia
Railway companies of Spain
Railway companies of the Czech Republic
Railway companies of the Netherlands