Transformation of DB Cargo

The transformation of DB Cargo includes structural, procedural, operational and organizational measures that are expected to generate a positive profit contribution of about € 1 billion by 2030. The Federal Government and the European Commission are closely accompanying the transformation process in accordance with the requirements of the EU state aid proceedings.

The transformation is intended to make DB Cargo sustainably competitive and economically viable. The focus is on five areas of transformation:

• the restructuring of single wagon transport,
• improvements in productivity and quality,
• the implementation of sales measures,
• the optimization of the product portfolio, and
• the implementation of measures in connection with investments.

Positive effects on profits from the implementation of transformation measures

Despite a decline in volume sold, including due to a market environment that remains challenging, DB Cargo’s adjusted EBIT saw a significant improvement in the first half of 2026 compared with the first half of 2025, although it remained slightly negative. The implementation of measures under the transformation program made a positive contribution to profits (adjusted EBIT) of € 171 million in the first half of 2026. The number of employees declined significantly as of June 30, 2026.

In mid-June 2026, DB Cargo reached an agreement with the works council and the Railway and Transport Workers Union (Eisenbahn- und Verkehrsgewerkschaft; EVG) on a further reconciliation of interests and social compensation plan. By 2030, the number of DB Cargo employees in Germany is expected to be reduced by about 6,200. This agreement laid the foundations for carrying out the remaining restructuring in a socially responsible manner. In particular, this is intended to facilitate the further development of single wagon transport, significantly streamline planning and dispatching, enhance competitiveness in maintenance and enable the adjustment of administrative structures.

The consolidation of workshop capacity along key production corridors is intended to ensure fleet availability at competitive costs. Mobile maintenance teams are expected to ensure a continued presence across the network. At the same time, DB Cargo is proceeding with the disposal of selected workshop facilities, primarily to intra-Group companies.

Single wagon transport as the backbone of industrial supply chains

For certain sectors (including steel, chemicals, automotive and energy), single wagon transport is a vital part of the transport infrastructure, as customers have neither the volume required for block trains nor viable alternatives by road or waterway. Single wagon transport is therefore a key location factor for German industry. Non-Group freight railways have not yet established a comparable nationwide transport system.

Another goal of the transformation is to ensure the long-term economic stability of this system. To this end, DB Cargo is focusing on four key areas of action:

• Hub system for network realignment: Starting in 2027, production is to be realigned around four central hubs and additional regional nodes. The new system is designed to handle about 98 % of the current volume while significantly reducing the number of freight terminals involved, enabling significantly more efficient production thanks to high-frequency connections between core locations, and optimizing the utilization of personnel, locomotives and freight wagons. The key train-path and location decisions have already been made.
• Operational stabilization and productivity improvement: At the same time, the quality of service provision is to be improved. The focus is on greater punctuality, improved empty wagon management, more reliable customer deliveries, multifunctional job profiles and a further reduction in production costs. One key aspect is the consolidation and optimization of planning and implementation responsibilities within the network.
• Mannheim marshaling yard: The Mannheim marshaling yard serves as a pilot site for optimizing the single wagon transport system. Improvements in punctuality, schedule adherence, staff productivity and equipment availability are being developed, including in collaboration with DB InfraGO in part, and will be subsequently rolled out to other marshaling locations.
• Offsetting the systemic disadvantage for the sector: Even after the full implementation of the transformation and pricing measures, single wagon transport will be at a structural competitive disadvantage compared with block train transport. Based on our calculations at DB Cargo, this currently amounts to about € 270 million per year. To maintain the single wagon transport system, long-term funding for the entire sector must be included in the Federal budget, and funds must be distributed entirely according to market share based on actual performance. If the required funding level continues to fall short while the other parts of the network next to the high-performance network are maintained, the single wagon transport system will not be economically viable. Maintaining single wagon transport therefore also requires a fundamental policy decision regarding Germany’s desired industrial infrastructure. Key industries in particular such as chemicals, steel and the automotive sector cannot operate sites throughout Germany without rail single wagon transport.

Vision for 2030: European rail freight transport provider operating along international corridors

To ensure that the transformation progresses as planned and to achieve the goal of becoming an integrated European rail freight transport provider, DB Cargo’s European network will also be further developed. Since the first half of 2026, preparations have been underway for three strategic initiatives:

• Introduction of an integrated European sales model featuring joint market cultivation and Europe-wide sales strategies,
• Implementation of cross-border corridor operations on the North-South, South-West and Eastern Europe corridors.
• Improvement in capacity management and stronger integration between sectors, production and European subsidiaries at international interfaces.