Rail freight transport on the rise: How sustainability is changing the industry

Freight train with colorful containers on tracks in daylight
March 11, 2026 3 min read
Rail freight transport on the rise: How sustainability is changing the industry

Sustainability is no longer a niche topic in the rail sector - it has become a key competitive factor. ESG criteria (environmental, social, governance) are a decisive benchmark in this regard: companies are increasingly being measured by how environmentally friendly, socially responsible, and well-managed they are. For logistics and retail, this means that customers, investors, and business partners expect clear answers – for example, on the carbon footprint of supply chains or on specific measures for climate protection. The European Union now requires large companies to report regularly and in detail on environmental and social risks and how they are managed. Sustainability has thus long since evolved from a “nice-to-have” to an integral part of business decisions. 

Climate advantage of rail

Rail is one of the most effective levers for climate protection in the transport and logistics sector: a freight train causes around 7 to 8 times fewer emissions per tonne-kilometer than a truck. (Source: Allianz pro Schiene). While an average truck emits around 118 g of CO₂ per tonne-kilometer, a freight train emits only around 15–16 g. This lead will become even greater with the ongoing electrification and use of green electricity. 

Every ton of freight that is shifted from road to rail significantly reduces emissions in freight transport. In total, millions of tons of CO₂ can be saved each year if companies rely more heavily on rail. Politically, the direction is clear: the EU wants to significantly increase the share of rail in freight transport by 2030 and roughly double it by 2050. 

EU rules as drivers of change 

In addition to economic incentives, new EU regulations are accelerating development:

  • CSRD (Corporate Sustainability Reporting Directive): requires more and more companies to provide comprehensive sustainability reporting in accordance with the European Sustainability Reporting Standards (ESRS), including disclosure of greenhouse gas emissions along the entire value chain (Scope 1–3). 

  • EU taxonomy: defines which economic activities are considered environmentally sustainable. Low-emission modes of transport, such as electrified rail freight, often meet these criteria and can therefore gain easier access to sustainable financing. 

  • CSDDD (Corporate Sustainability Due Diligence Directive): Requires large companies to exercise environmental and human rights due diligence along their supply chains and calls for measures to support European climate targets. 

These regulations make sustainability a mandatory requirement - and companies that act early gain a significant advantage. 

Opportunities for trade and logistics 

1. Transparency becomes mandatory: 
Companies must accurately record their carbon footprint—including for shipments handled by external logistics service providers. Today, digital tools enable emissions to be calculated for each shipment or route. 

2. Modal shift as a key strategy:
The shift from road to rail reduces emissions immediately and significantly. Intermodal concepts, in which trucks are only used to deliver goods to freight stations, combine climate protection with a flexible supply chain. 

3. Secure competitive advantages: 
Sustainable transport solutions improve the chances in tenders, strengthen the ESG rating, and reduce costs in the long term—for example, through lower CO₂ taxes or the use of subsidy programs. 

4. Innovation boost in the industry: 
Alternative drive systems such as hydrogen and hybrid locomotives, digital route optimization, and closer cooperation between railways, freight forwarders, and shippers are becoming increasingly important. 

Conclusion 

Sustainability is fundamentally changing trade and logistics – and rail is at the heart of this development. Not only does it offer a significantly better carbon footprint, it also fits perfectly into the regulatory framework set by the EU. Those who consistently focus on climate-friendly transport strategies today will benefit from political tailwinds, growing demand for green logistics, and clear competitive advantages. Sustainability has long been the norm – and in rail freight transport, it will be a decisive success factor for years to come.