{"id":461938,"date":"2026-06-24T18:22:39","date_gmt":"2026-06-24T08:22:39","guid":{"rendered":"https:\/\/www.railfreight.com\/?p=72045"},"modified":"2026-06-24T18:22:39","modified_gmt":"2026-06-24T08:22:39","slug":"db-cargo-france-eyes-break-even-in-2026-after-poor-start-to-the-year-2","status":"publish","type":"post","link":"https:\/\/www.vibewire.com.au\/?p=461938","title":{"rendered":"DB Cargo France eyes break-even in 2026 after \u2018poor\u2019 start to the year"},"content":{"rendered":"

Having been in the black in both 2024 and 2025, DB Cargo France is aiming to balance the books in 2026 after a \u201cpoor\u201d start to the year. In an interview with RailFreight.com, the company\u2019s president and CEO, Alexandre Gallo, pointed to the impact of the closure of the Rubi Tunnel <\/strong>near Barcelona.<\/strong>
\n<\/span>The tunnel was closed for a number of weeks<\/a> for major repair work, which had significantly hit France-Spain rail freight traffic flows in the early part of 2026. \u201cAdd to that a certain reluctance on the part of shippers to launch new routes or increase frequencies and we\u2019re reduced to aiming for a break-even position this year,\u201d he said.<\/p>\n

Rosier picture<\/h2>\n

DB Cargo recently confirmed 6,200 layoffs<\/a> in Germany by 2030 \u2013 which is almost half of its total workforce. It follows cuts in around 2,300 posts at the end of 2024, also in the context of heavy restructuring. However, it has been a far rosier picture at its French arm where, over a five-year period, the subsidiary has steadily ditched loss-making traffic and short to mid-distance routes, allowing it to improve rolling stock utilisation and increase profitability.<\/p>\n

As recently as 2020 and 2021, DB Cargo France was dependent on its parent for 65% of its business. It now generates 75% of its turnover from its own customer base, shielding it from the group\u2019s difficulties in Germany, Gallo told French media last month. He confirmed his comments to RailFreight.com. Gallo also revealed that DB Cargo France leases out its locomotives to its competitors in order to maximise the use of its resources.<\/p>\n

\u201cFreight costs break down as follows: 35% for labour costs, 35% for rolling stock, 15% for energy and 15% for train paths. So, if we don\u2019t maximise the use of our resources, we won\u2019t make ends meet.\u201d<\/p>\n

\"Alexandre
The CEO of DB Cargo France, Alexandre Gallo. Image: \u00a9 Association Fran\u00e7aise du Rail (AFRA)<\/figcaption><\/figure>\n

Impact of Fret SNCF discontinuity<\/h2>\n

Commenting on the break-up of Fret SNCF and the obligation to hand over 30% of its freight traffic to competitors, Gallo explained that the entire rail sector has rallied to prevent freight from shifting to road haulage. Things had worked rather well, he said, as all traffic had been retained with the exception of certain French-Italian routes which were severely affected by the closure of the Maurienne line through the Alps between August 2023 and the end of March 2025, following a rockfall.<\/p>\n

\u201cOn these routes, some freight flows have permanently shifted back to road haulage. We\u2019ve gone from 30 combined transport trains to just 12 today.\u201d He went on to reveal that DB Cargo France had taken on 7 of the 21 freight flows relinquished by Fret SNCF.<\/p>\n

\u201cWe didn\u2019t go and compete for routes that anyone could run but rather focused on routes that are difficult to operate. For example, between Antwerp and Bayonne, where you need to be familiar with Belgian regulations and have interoperable drivers and locomotives approved in several countries. Our locomotives are certified in France, Germany, Belgium and on part of the Swiss network. We have relied on our technical expertise to strengthen our portfolio.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

Having been in the black in both 2024 and 2025, DB Cargo France is aiming to balance the books in 2026 after a \u201cpoor\u201d start\u2026<\/p>\n","protected":false},"author":13,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"footnotes":""},"categories":[8066,72,1084,471,47],"tags":[12634],"class_list":["post-461938","post","type-post","status-publish","format-standard","hentry","category-alexandre-gallo","category-business","category-db-cargo-france","category-news","category-rail-news","tag-railfreight"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t