The three rack sections with a total of 3,264 m (10,709 ft) in length are located between Altstätten and Stoss, while the rest of the line to Gais is an adhesion railway.

The short link along Marktgasse established a connection to the Rathaus–Bahnhof SBB line of the Altstätten–Berneck tramway, opened in 1897 and operated by the Altstätten-Berneck-Bahn (ABB), which in turn was replaced in 1940 by the Altstätten–Berneck Trolleybus.

The Altstätten–Gais line was managed by the ABB, which allowed the trains to run continuously between Gais and Altstätten SBB station.

Due to declining frequencies and a cost recovery rate of less than 30 percent, the cantons of Appenzell Ausserrhoden and St. Gallen have established an engineering office review of whether "more customer-friendly and cheaper alternatives" would be feasible for the three rack railways of the Appenzell Railways, from Altstätten Stadt to Gais, from Rorschach Hafen to Heiden and from Rheineck to Walzenhausen.

[4] S24 Altstätten Stadt – Stoss – Gais During the warmer seasons and sunny weather, some services feature a special railroad car for the transportation of bicycles.