Attempts to circumvent Western sanctions on Russia and Belarus via rail through Lithuania grew exponentially between March and May. The Lithuanian national rail freight operator LTG Cargo said that four wagons were blocked and sent back at the Lithuanian border in March, while in May this number increased to 62. The company did not provide…
Category: Latvia
Freight to contribute little to billions of Rail Baltica-induced growth
Rail Baltica is an economically viable undertaking. While its projected cost has grown immensely in recent years, the high-speed rail line is expected to contribute up to 23,5 billion euros to the Baltic economies. Freight, however, is not likely to contribute much. An independent cost-benefit analysis (CBA) found that Rail Baltica will likely add between…
Rail Baltica mainline construction takes off in Latvia
Latvia is commencing construction works on the Rail Baltica mainline. The Rail Baltica team and its international partners gathered in Riga to mark the occasion, but uncertainty remains about the final shape Rail Baltica will take. The construction of the 230-kilometre Latvian mainline will take place in stages. Initially, Rail Baltica will be working on…
Costly Rail Baltica to cut ambitions and seek funding elsewhere
As Rail Baltica’s projected costs are mounting and continue to grow, the project’s feasibility is in question. Uncertainty surrounding EU funding is forcing Rail Baltica to look elsewhere and readjust ambitions. As Rail Baltica eagerly awaits the results of the January application round for EU funding, discussions surrounding pan-Baltic railway continue. It is uncertain how…
Latvian rail freight numbers drop for second consecutive year
For the second year in a row, Latvia rail freight numbers have worsened significantly. In the first four months of 2024, the overall transported volume of rail freight declined by 25,3 per cent compared with the same period last year. Rail freight numbers have worsened across the board, according to data from the Latvian ministry…
Latvia appoints special Rail Baltica secretary amid strategy change
In the midst of a troubled implementation of Rail Baltica in Latvia, the country is undergoing a strategy change. Latvia is centralising the project’s management under the transport ministry. Kristine Malnača, formerly employed at Rail Baltica, will be deputy state secretary for Rail Baltica affairs, starting in June. Malnača will be leading a Rail Baltica…
Russia to invest 156 billion rubles for Belarusian rail access to Baltic Sea
Russian Railways (RZD) intends to invest 156 billion rubles (1,5 billion euros) to enable Belarusian exports via the Baltic Sea. EU countries blocked the transit of Belarusian goods through its territories, and now Russia is coming to the aid of its steadfast ally. Additionally, Belarus will gain rail access to a brand new port in…
Latvian petition against manganese ore export to Russia gaining momentum
A petition to ban the export of manganese ore to Russia is picking up the pace in Latvia. The public initiative gathered a third of the required signatures for a parliamentary debate in a single week. The Latvian rail sector has suffered from sanctions on Russia, but public opinion is heavily in favour of them.…
Rail Baltica will not pass through all of Riga before 2030 deadline
Rail Baltica will not pass through all of Riga before 2030. Latvia is missing three billion euros for the completion of the line through its capital city. The city has been a major obstacle for the construction of the line, and the entire project risks losing one billion euros in EU funding if not completed…
LTG Cargo launches first cross-Baltic service
Lithuanian state-owned rail freight operator, LTG Cargo, recently started transporting petroleum products between Bugeniai, in Luthiania, and Valga, in Estonia. The initiative is another reflection of how operators in the Baltic are looking to diversify their operations due to loss of cargo to and from Russia and Belarus. The launch of operations was preceded by […]