What Can We Learn from International High-Speed Rail Systems

Published on September 15, 2026

Economic

Canada is a vast country, with conventional rail networks running from coast to coast. Our railways, currently shared between passenger and freight, were built at a time when travel and freight demands were smaller. As our population grows, the system currently in place has reached capacity, which has also stunted economic growth in the area.

Alto's proposed high-speed rail (HSR) network offers a clear path to addressing this challenge. Based on examples from around the globe, the introduction of HSR will not only alleviate congestion, it will also open new markets and help grow the economy.

High speed rail will be new to Canada, but we are not starting from scratch. Over 20 countries worldwide have used HSR to successfully solve similar transportation challenges and have changed how people travel, businesses operate and regional economies connect. Along the way, high-speed rail projects have generated valuable lessons, from notable successes to challenges that have shaped how these systems are planned, built, and operated today. Alto will draw on these lessons as it develops Canada's first high-speed rail network.

Through our partnership with Cadence, a consortium of companies known worldwide for their expertise in the design, financing, construction, operation, and maintenance of large-scale rail infrastructure, Alto is also well positioned to benefit from decades of international HSR experience and proven best practices.

The proven value of high-speed rail in other countries 

Across Europe and Asia, high-speed rail has proven to be a long-term, sustainable system for transporting people. The broader effects of HSR have also been demonstrated.  Faster, more reliable connections have changed travel behaviour, expanded labour and business markets, and strengthened connections between economic centres.

Alto’s recently published report, “Canada’s Moment: The Economic Opportunity of High-Speed Rail”, includes information about how countries around the globe have seen great success by implementing HSR, with sources. Here are a few examples we have drawn from.

In France, the HSR connection between Paris and Lyon has been a game changer for businesses.  With a strong rail connection, the cities began to function as part of a single economic ecosystem, and companies quickly adjusted to this new level of accessibility. Business travel increased significantly (by over 50% from Paris alone), and labour markets were expanded. The Paris–Lyon corridor is similar in distance and population to the Toronto–Montréal corridor. 

Take away: Shorter travel times can support stronger business coordination across cities.

In Germany, the high-speed connection between Cologne and Frankfurt has reduced the 'economic distance' between the communities along the route and Frankfurt’s economic centre. German counties that gained HSR station connectivity experienced GSP growth of approximately 8.5% over six years, with greater access to jobs, services and larger labour markets. Meanwhile, travel behaviour shifted toward rail, air traffic declined between the connected cities to the point of discontinuation, and Frankfurt airport evolved into an international flight hub.

Take away: High-speed rail strengthens regional economic growth and labour-market connections while complementing airports by shifting short-haul trips to rail.

In Italy, the high-speed rail connection linking Turin, Milan, Rome and Naples, has strengthened economic ties between major cities and intermediate communities. Faster rail connections led to an increase in the train's share of travel. Rail demand on the Milan–Rome route doubled, increasing its market share to 74%, while air travel's share fell to below 20%. The country has also seen productivity gains in smaller regions connected to the network. Alto sees this corridor as particularly relevant because its scale and city spacing are similar to the Toronto–Québec City corridor.

Take away: High-speed rail can connect cities of all sizes into a single corridor economy, shifting travel from air to rail, and supporting regional productivity growth.

Spain has the largest high-speed network in Europe, which has been attributed with major economic growth. The corridor between Madrid and Barcelona, one of the country’s most important economic axes, experienced notable economic gains with a GDP uplift of 2.4%. More businesses were created and worker productivity increased thanks to faster and more reliable rail connections. The distance and population between Madrid and Barcelona are comparable to that of the Toronto–Québec City corridor.

Take away: Improved rail connectivity can support economic growth, business development and productivity by expanding the scale at which people and firms interact.

In Japan, the world’s longest running high-speed rail network has affirmed the long-term role it can play in connecting regional economies. Research shows regions served by high-speed rail tend to be more productive and have a deeper economic integration than those without access. Japan has had its high-speed rail network for over 60 years, and it has demonstrated how sustained investment in high-speed rail can support economic growth across an interconnected corridor economy.

Take away: Over the long term, high-speed rail has proven results boosting productivity and strengthening economic integration.

What these examples mean for Canada

Alto will draw on decades of experience and best practices as it designs Canada’s first high-speed rail network. Of course, we cannot simply copy another country's system. Alto will be designed to meet our country’s transportation needs and operate reliably in all conditions, including challenging winters climates.

The experiences of France, Germany, Italy, Spain and Japan show that high-speed rail can strengthen economic connections, increase productivity and offer travellers an attractive alternative to cars and short-haul flights. Furthermore, many of the examples share the same characteristics as the Toronto–Québec City corridor, including distance, population and concentrations of economic activity, making them useful examples of the potential benefits Alto could deliver in Canada.

These international experiences show that high-speed rail benefits extend past improved mobility; it helps connect people, businesses and communities while supporting long-term economic growth.

To read more about international High-Speed rail, and about the economic opportunity of high-seed rail in Canada, please see our Canada’s Moment report. Sources and references for this blog can also be found within the report.