Siemens Mobility in consortium with Leonhard Weiss wins volume contract with Deutsche Bahn

Siemens Mobility, in a consortium with the construction company Leonhard Weiss, has won a significant share of Deutsche Bahn’s (DB) first volume contract for modern control and safety technology.

The contract value for the consortium is worth around €2.8 billion. The awarding of this volume agreement with a total volume of €6.3 billion marks a unique development in Germany, and secures the capacity to provide new digital signaling technology with delivery and acceptance obligations. The first call-offs under the framework agreement are expected to come as early as spring 2025.     
 
"We are especially proud to have won a significant share of Deutsche Bahn’s volume contract together with our partner Leonhard Weiss. As the global market leader and as part of this new agreement, we will provide the  digital control and safety technology needed for the modernization of Germany’s rail network,” said Michael Peter, CEO of Siemens Mobility.

“The new award and contract model marks a paradigm shift for the rail industry. It enables the industry to develop the resources necessary for modernizing Germany’s rail network. And, thanks to its optimized interfaces, the contract will also make the implementation process much more efficient.”  
 
“The volume contract underscores Deutsche Bahn’s confidence in the expertise and performance of Leonhard Weiss and Siemens Mobility. We are confident that we will play a key role in shaping mobility and the rail infrastructure of the future. We are highly motivated and at the same time have great respect for this major undertaking,” emphasized Marcus Herwarth, CEO, Track Infrastructure Construction at Leonhard Weiss.
 
First volume contract from Deutsche Bahn
Deutsche Bahn’s new award and contract model represents a notable shift for the rail industry. Rather than relying on a series of many individual contracts and call-offs as in the past, there is now a single, large, long-term volume contract.

The contract’s partners, including Siemens Mobility and the Leonhard Weiss construction company, are committed to respectively fulfilling a defined order volume for DB. In return, DB is committed to call-off quantities over the duration of the contract.
 
This new contractual approach has decisive advantages: The industry can develop platform solutions with standard interfaces and reliably develop and build up the necessary resources. Instead of taking the usual eight years, the processes of ordering, planning, construction and commissioning are expected to be shortened to just a few years.

The new volume contract is breaking ground for the future of railway modernization in Germany. In addition to Siemens Mobility and Leonhard Weiss, other companies in the railway industry have their own implementation shares in the volume contract.