Holcim UK has launched a new rail freight service into the Port of Sunderland, establishing an alternative supply route for construction aggregates that is expected to transport around 100,000 tonnes of material during its first year.
The new flow, operated in partnership with GB Railfreight and the Port of Sunderland, connects Bardon with Sunderland and is designed to strengthen asphalt supply chains across the North East while reducing reliance on road haulage and existing port logistics arrangements.
Operations began in summer 2026, with approximately one train per week currently delivering aggregates to the port. Each service comprises 19 wagons carrying around 1,425 tonnes of material.
Fourteen trains have already operated, transporting nearly 20,000 tonnes, with Holcim expecting volumes to increase as demand develops.
The service provides an example of how existing railway infrastructure can be used to establish new freight flows without requiring substantial investment in new terminals or handling facilities.
Alternative route strengthens regional construction supply chains
The new service was developed after Holcim identified an opportunity to use Sunderland’s existing railhead to address changing supply arrangements in the North East.
Changes at the Port of Tyne had placed pressure on established logistics routes, creating a need for alternative ways of transporting aggregates into the regional market.
The material arriving at Sunderland will primarily support asphalt production for Northumbrian Roads, with additional supplies destined for Hulands Asphalt.
Both businesses serve the North East construction market, where reliable aggregate deliveries are important for maintaining asphalt production and supporting highways maintenance and infrastructure projects.
Holcim considered the relative costs and operational requirements of different transport modes before selecting rail.
Road haulage was not considered commercially viable for the volumes required, while shipping options were subject to factors including vessel capacity, material sourcing and port availability.
The Sunderland railhead offered an alternative that could accommodate regular bulk deliveries while making use of existing infrastructure.
Mustapha Nyass, Regional Operations Manager at Holcim UK, said: “Reliable asphalt supply is critical to keeping North East construction and infrastructure projects moving, from road maintenance to wider regional development. This new route gives us a stronger, more resilient way to get essential materials into the market, so customers can plan with greater confidence.
“We faced a real supply challenge, but the answer was not simply to absorb higher costs or accept less flexibility. By using Sunderland’s railhead, storage space and port capability, we have created a practical new route that supports local construction, strengthens our asphalt operations and gives us room to grow when demand increases.”
Making better use of existing rail freight infrastructure
A key feature of the new operation is its use of the Port of Sunderland’s existing freight-handling facilities.
The port has been seeking opportunities to increase bulk freight volumes and make greater use of its rail connection.
Its available storage space, established handling equipment and capacity to accommodate rail deliveries enabled Holcim to progress from initial feasibility discussions to regular operations without major capital expenditure.
The service uses open box wagons, which provide flexibility when unloading materials at sites without dedicated bottom-discharge facilities.
Although these wagons require more manual handling than automated discharge alternatives, they allow aggregates to be unloaded using existing port equipment.
Sunderland can accommodate up to 6,000 tonnes of material in storage, providing a buffer between rail deliveries and onward distribution to asphalt production facilities.
This arrangement enables Holcim to manage variations in customer demand while maintaining a regular flow of material into the region.
It also demonstrates the potential for underused railheads to support additional freight movements where suitable track access, storage capacity and handling equipment are already available.
Rail freight economics depend on utilisation
Holcim says the commercial viability of the route depends not only on moving large quantities of material, but also on making more effective use of existing railway assets.
The company has been able to increase utilisation of wagons already committed to its logistics operations, while generating additional traffic through the Sunderland railhead.
Damien Preece, General Manager – Rail at Holcim UK, said: “Rail only works when the operational detail works. You need the material, the wagons, the paths, the route knowledge and a receiving site that can handle the flow safely. Sunderland lined up on all those points, which is why the project moved from an idea to a weekly freight movement so quickly.
“The other important point is utilisation. Railheads and wagons carry fixed costs, so the more volume you can move through them, the stronger the economics become. Adding Sunderland has increased the use of wagons we already had committed, brought more volume through an underused railhead and made the wider network work harder. That is where modal shift becomes valuable. It improves the cost base, strengthens supply resilience and gives operations more options.”
The development required coordination between Holcim’s aggregates, asphalt and logistics teams, GB Railfreight and the Port of Sunderland.
Establishing the service involved aligning wagon availability, railway paths, route knowledge and terminal operations to create a workable supply chain.
For freight operators and customers, the project illustrates the importance of considering the entire logistics operation rather than simply the rail journey itself.
Supporting wider rail freight growth ambitions
The launch comes as the UK Government seeks to increase the volume of goods transported by rail, with a target of at least 75% rail freight growth by 2050.
Construction materials are an important part of the rail freight market, with aggregates particularly suited to rail transport because of the large volumes involved and the ability to move substantial quantities in a single train.
At approximately 1,425 tonnes per service, the Sunderland operation demonstrates the carrying capacity available through regular bulk rail movements.
The projected annual volume of 100,000 tonnes would represent a substantial new flow of construction materials into the North East, although the actual number of trains required will depend on service frequency and loading levels.
The project also highlights the role that regional ports and existing freight terminals can play in supporting growth without requiring entirely new logistics infrastructure.
For Holcim, the immediate benefits are commercial and operational: greater supply resilience, improved asset utilisation and reduced exposure to road transport costs.
For the wider rail freight sector, the service provides a practical example of modal shift being driven by a specific customer requirement and supported by available infrastructure.
Potential for further growth
The route has been designed with flexibility to accommodate additional volumes as market demand increases.
With regular services already established and nearly 20,000 tonnes delivered, Holcim has demonstrated that the Sunderland railhead can support a functioning aggregate supply chain.
The combination of existing port facilities, open box wagons and available storage capacity provides scope to develop the operation without the immediate need for significant infrastructure investment.
The service also creates an additional commercial opportunity for the Port of Sunderland as it seeks to expand its bulk freight activities.
For the railway industry, the significance of the project lies in its relatively straightforward approach to creating new freight demand.
Rather than relying on major infrastructure construction, Holcim and its partners have used existing assets to address a regional supply challenge, establishing a new flow that strengthens the commercial case for rail.
As the industry works towards longer-term freight growth targets, similar opportunities to reactivate or increase the use of existing rail-connected facilities could provide a practical means of expanding traffic while improving the resilience of UK construction supply chains.
