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Japanese rail companies continue to see losses on local lines

0 Comment(s)Print E-mail Xinhua, October 30, 2024
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TOKYO, Oct. 30 (Xinhua) -- East Japan Railway (JR East) and West Japan Railway (JR West) are struggling to keep regional rail services profitable as they continue facing significant passenger declines, local media reported.

In fiscal year 2023, JR East reported substantial losses on lines averaging fewer than 2,000 daily passengers per kilometer, national broadcaster NHK reported.

Out of the 72 sections across 36 lines evaluated, all recorded deficits, totaling over 75 billion yen (about 490 million U.S. dollars). The Uetsu Line, particularly the Murakami-Tsuruoka section, posted the largest loss at nearly 5 billion yen.

Meanwhile, JR West shared average earnings data for sections with fewer than 2,000 passengers per day over the past three fiscal years. All 30 sections on 17 lines faced deficits, amounting to a combined loss of 23.3 billion yen, according to the report.

Although passenger numbers have rebounded somewhat since the COVID-19 pandemic, Japan's regional rail lines remain financially challenging for the rail operators as population declined. Enditem

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