A broad alliance of German companies, trade unions, and civil society organizations has urged the federal government to secure long-term funding for the country’s rail infrastructure. 

The latest draft federal budget would reduce funding for rail network renovation and expansion by EUR 1.3 billion, putting more than 90 rail projects at risk of cancellation. Around 30 additional projects remain unfunded this year despite the availability of a special infrastructure fund. 

The alliance warned that insufficient rail investment could disrupt industrial supply chains and particularly affect sectors such as steel, basic materials, chemicals, and logistics. 

Kerstin Maria Rippel, CEO of the German Steel Federation (WV Stahl), said cuts to rail infrastructure investment would increase production costs for the steel industry.