It is responsible for all of the rail freight transport activities of the German railway company Deutsche Bahn (the DB Group) both inside Germany and on a global level.

[2][3] The company was founded as DB Cargo AG on 1 January 1999 under the second stage of liberalisation reform of the German railway system (Bahnreform) underway around this time.

This new structure was designed for the cooperation, and incorporation, of future partnerships with other rail freight companies; between 2004 and 2009, Railion expanded its operations into Italy, Switzerland, and Poland, typically via acquisitions.

During 2016, to indicate its core focus on rail freight transportation, the company was once more rebranded as DB Cargo AG; this naming scheme has been progressively replicated across the majority of its international subsidiaries as well.

[4] Based on the number of kilometres travelled, DB Cargo is the market leader in both Germany and Europe, although its transport services have been in decline for several years.

Within the context of the battle against climate change, however, the role of DB Cargo is also thought to be increasingly important,[7][8] as the company offers transport options that are entirely carbon neutral.

Accordingly, the Deutsche Bahn Group produced investment plans that directed billions in its subsidiary in order to improve its position in the German transport and logistics market.

[30] The cooperation between DB, NS and DSB has reportedly played an essential role in Deutsche Bahn's long-term strategy for expansion in other European countries.

[39] Recognising the company's unfavourable financial position, Deutsche Bahn opted to respond by enacting numerous cost-saving measures;[40] these were credited with a significant improvement in Railion's circumstances.

After the successful acquisition of the then-listed logistics company Stinnes, including its freight forwarding subsidiary Schenker AG, a restructuring of responsibilities took place within Deutsche Bahn.

[56] News of these cost reduction measures was quickly met with sharp criticism by various trade unions;[57] their opposition included demands that the approach be abandoned immediately,[58] and accusations of the company's mismanagement.

[59] Following several months of negotiations, the Deutsche Bahn Group and its works council finally agreed on a restructuring programme for DB Cargo during February 2007.

[61] To reflect the company's focus on its core business activities in the domain of rail freight transport, it was again renamed, adopting the DB Cargo AG designation in early 2016.

[65] Furthermore, the company also equipped its inventory of wagons with whisper brakes,[66] which had reportedly halved the noise pollution generated by the movement of its freight trains.

[69] Seeking to progress developments in this area, between 2016 and 2019, DB Cargo played a leading role in the "Innovative Freight Wagons" research project conducted on behalf of the German Federal Ministry of Transport and Digital Infrastructure (BWVI).

[73] Within this context and based on expert opinions, in September 2019, the German Federal Government announced plans to transfer millions of lorry trips from road to rail,[74] although similar attempts made in previous years had reportedly achieved little progress.

[93] Within the Deutsche Bahn Group, DB Cargo is mainly responsible for the following subsidiary and sister companies, all of which are directly involved in the domain of rail freight transport: These are joined by further companies that have special responsibilities in areas such as sales, transporting dangerous goods and combining traffic flows: The service catalogue of DB Cargo consists of a wide variety of basic, additional and special services.

[110] The latter is becoming increasingly important given that rail transport currently has the lowest carbon emissions of all carriers and also achieved the largest savings in recent years (1995–2015).

[120] Critics have accused Deutsche Bahn of having neglected the necessary maintenance work on, and the modernisation of, DB Cargo's infrastructure; claims have also been made that the comparably high average age of its locomotives and wagons is a prime example of this problem.

[122] During mid 2022, the European Commission (EC) conducted an investigation into the allegedly unfair provision of state aid to DB Cargo from the German government.

[124] Single wagonload transport have played a special role in the economic development of DB Cargo and the wider rail freight sector alike.

In the late 2010s, experts were issuing demands that the company subsidise its activities, or shrink its business, in this area in order to remain a strong competitive alternative to lorry transport.

[125] Following the Great Belt Bridge rail accident, in which eight people died, a union representative from DB Cargo was convicted of evidence tampering.