SUMMARY
The purpose of the paper is to explore the current state of the railway engineering industry in the world, the problems of its development prospects, especially the introduction of the modular process technology and economic impact of its introduction. Methodology. The research is based on statistical information from public sources, which is used to confirm the veracity of the thesis put forward about the feasibility of further implementation of the principle of modularity in the railway engineering sector. Data was also obtained from the websites of manufacturers of railway equipment. Also, in the study of the issue, analytical articles on the economic development of the sector of railway engineering in the world were used. Results of the research showed that today, in transport engineering industry, in particular – in the railway engineering, there is a problem of inefficient implementation and use of technological developments, which are used in the manufacture of railway rolling stock. Many technical solutions are duplicated, leading to more time and financial costs. At the same time, there is no free access to information about existing technical solutions, which significantly slows down the development of rail transport. One of the main solutions to the problem is the use of modular technology in the design and manufacture of rolling stock. Leading global manufacturers have already begun to use the modules in the production of their rolling stock, but the technology is not yet sufficiently developed and finds its realization only in reducing the costs of production of rolling stock by specific manufacturers. The full benefits of the new technology have not yet been obtained by producers and operators. Thus, there is a considerable margin for the implementation of modular technology in the production of railway vehicles, which will result in further reducing both production costs and the costs of maintenance, operation and repair of rolling stock. Practical implications. The introduction of a modular system in the design, manufacture and operation of rolling stock will lead to a significant breakthrough in the development of the railway sector, reduce the cost of production and maintenance of railway equipment. Together with the inter-company exchange of technology and experience it will contribute to intensification of production and the development of new trends in the railway sector. Value/originality. These data show that the modular technology of the production construction has broad application prospects, while it does not require a significant capital investment. This approach can be applied to various types of rolling stock, as well as, potentially, to other industries. The achievements obtained in the railway sector will find their application in other fields of transport engineering.