Rail network in Germany faces crisis, leading to dismissal of rail chief
Deutsche Bahn Faces Major Challenges: Poor Punctuality, Underfunding, and Low Profitability
Germany's national railway company, Deutsche Bahn (DB), is currently grappling with significant issues, including deteriorating punctuality, underfunding, and low profitability.
The punctuality of DB’s long-distance trains has seen a significant decline, with only 56.1% arriving on time in July 2025, a drop of six percentage points from the previous year. Passenger punctuality, which measures how many passengers reach their final destinations with minimal delay, also decreased from 67% to 59.4% in the same period.
The root cause of these issues lies in the critical state of DB's infrastructure. Nearly half of the operationally relevant facilities require renewal, leading to frequent failures of tracks, switches, interlockings, and level crossings. Extreme weather, such as the high temperatures experienced in June 2025, exacerbated the situation by triggering twice as many breakdowns as usual. The infrastructure's poor condition demands a massive volume of construction and maintenance, causing ongoing disruptions and operational strain.
Financially, DB is struggling with heavy deficits and low profitability, which compound the operational challenges. The situation led to the early exit of CEO Richard Lutz in mid-2025 amid government pressure. The Transport Minister called the situation "dramatic," pointing to plunging customer satisfaction and a continued decline in punctuality, from 78.5% in 2017 to 62.5% last year.
Proposed and ongoing solutions include intensive infrastructure renovation, reducing failures by renewing aging infrastructure, operational targets, leadership changes, and reforms. About 40 major overhauls of key routes, such as the Hamburg–Berlin line, have begun, even though these require complete route closures for months and further temporary disruption. The company aims to create a more climate-resilient network better equipped to handle extreme weather. DB continues to target at least 65% punctuality for long-distance services in 2025, though recent performance has fallen slightly short.
Replacing management is also underway with a new CEO expected to address systemic issues. The government's plan to fix the network will be presented in late September, with Transport Minister Patrick Schnieder stating that DB must become faster, leaner, more effective, and more economical.
Passengers often complain of long delays and cancelled trains in Germany. The government is seeking to fix crumbling infrastructure more broadly, establishing a 500-billion-euro fund. However, these solutions require significant investment and time, and the passenger experience remains compromised during this transition period.
[1] Deutsche Bahn Annual Report 2024 [2] Deutsche Bahn Press Release, June 2025 [3] Transport Minister Schnieder Press Conference, July 2025 [4] Pro-Bahn Press Release, July 2025
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