Polish rail freight faces decade-low volumes amid financial struggles

Polish rail freight carriers are facing increasing challenges, with cargo volumes hitting a decade low in 2025. The sector transported 217.8 million tons of cargo, a 2.5% decrease compared to 2024, according to the Office of Rail Transport (UTK).

Financially, the situation is strained. Total operating revenues for 28 major carriers, representing 90% of the market, dropped by 9.9% year-on-year to just over 8.5 billion Polish zloty. While operating costs saw a significant reduction of 29%, falling to nearly 7.9 billion zloty, this cost-cutting measure was insufficient to offset the declining scale of operations. The decline in transport work within the surveyed group was 4.9%.

The financial performance led to restructuring or bankruptcy for several companies, including Ecco-Rail and Alza Cargo, while Locotranssped, Ost-West Logistics Poland, and Cargoway filed for insolvency. Key efficiency metrics per ton of cargo also worsened. Revenues per ton decreased by 6.6% to 44.72 zloty, and costs per ton fell by 26.4% to 41.55 zloty. EBITDA per ton of cargo dropped to 5 zloty from 9.81 zloty in 2024.

In response to the shrinking market, companies focused on improving cost and operational efficiency, optimizing routes, and adjusting employment levels. The sector's workforce decreased by 7.1% to 23,375 employees as of December 31, 2025, reflecting the reduced demand for rail freight services.