Indian Railways has achieved an 18-fold increase in automobile transportation by rail over the past decade. This remarkable shift is not only redefining the way cars are moved across the country, but also aligning with India’s long-term vision for low-emission logistics and climate-conscious mobility.
From a modest 1.5 per cent in 2013–14, the share of cars transported via Indian Railways surged to over 24 per cent in 2024–25. Of the 50.6 lakh cars manufactured in India during the last financial year, approximately 12.5 lakh units were shipped by train. This shift has led to a sharp decline in the use of diesel-powered truck trailers for long-distance haulage, particularly beyond 600 kilometres.
Behind this transformation lies a determined push by Indian Railways to capture a larger share of the automobile logistics segment, traditionally dominated by road transport. Railway ministry officials attribute this growth to both policy-level interventions and operational innovations. In 2013–14, the number of rakes dedicated to car transport stood at just 10. Today, that number has grown to 170 — a 17-fold increase — supporting a significant rise in trips, with 7,578 movements recorded in 2024–25 alone.
Crucial to this expansion has been the redesign of rolling stock to enhance efficiency. Two years ago, Indian Railways modified its car carrier wagons to allow for the transport of sports utility vehicles (SUVs) on both decks, instead of just one. This change effectively doubled the carrying capacity of each 27-wagon rake from 135 to 270 SUVs, optimising operations while reducing energy and time costs.
India now stands second globally in terms of automobile transport by rail, following the United States, which moves an estimated 75 lakh cars annually by train. Germany ranks third, transporting around 6 lakh cars via rail. Although India still lags far behind the US in absolute numbers, the trajectory indicates a fundamental shift towards greener, large-scale freight systems.
The transition is also being seen as a strategic intervention to cut the carbon footprint of the automotive supply chain. With Indian cities choking under the weight of road congestion and vehicular pollution, the move to rail-based car transport serves broader climate goals and aligns with global trends in sustainable logistics. It also supports the decarbonisation objectives under India’s Nationally Determined Contributions (NDCs) under the Paris Agreement.
As the automobile industry continues to expand, railway logistics offer a scalable, fuel-efficient and low-carbon alternative for manufacturers. The ripple effect is being felt in both cost and emission reductions, with industry players increasingly opting for railways to transport finished vehicles over long distances.
The challenge now lies in sustaining this growth trajectory while ensuring last-mile delivery logistics keep pace with the rail network’s gains. Further infrastructure investments, better connectivity between industrial hubs and railway terminals, and policy incentives could push the needle further in favour of green freight.
While questions remain about capacity augmentation and interoperability with road-based logistics, the Indian Railways’ pivot towards clean freight is a promising development in the country’s evolving mobility landscape — one that could accelerate India’s shift to a net-zero transport ecosystem.
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