The Economic Impact of Supplying US Rail

The rail supply industry plays a critical role in keeping the nation’s freight and passenger rail networks operating, investing, and modernizing. This new Oxford Economics study—supported by the Railway Supply Institute (RSI), REMSA, RTA, and Amtrak—provides the most comprehensive assessment to date of the industry’s economic footprint. Drawing on detailed operational and capital spending data across freight railroads, transit and commuter systems, and Amtrak, the report measures the activity that takes place within supplier firms, the activity supported through their domestic supply chains, and the additional economic activity generated by workers’ spending.

In 2024, rail suppliers supported 906,300 jobs, $127.4 billion in GDP, $76.8 billion in labor income, and $29.5 billion in tax revenues across the United States. As the report notes, “every direct job in the rail supply industry supports an additional 1.7 jobs elsewhere in the US economy,” reflecting the industry’s extensive supply chain linkages and above‑average compensation levels. The analysis also highlights the distinct contributions of freight rail suppliers—who account for roughly two‑thirds of total impacts—and the growing footprint of suppliers serving transit, commuter, and intercity passenger rail systems.

The report includes a dedicated assessment of Amtrak’s supplier network, which supported 45,800 jobs and $6.5 billion in GDP in 2024. These impacts underscore how federal investment, including funding from the Infrastructure Investment and Jobs Act, is strengthening domestic manufacturing capacity, expanding supplier activity, and supporting high‑quality jobs in communities nationwide.