PKP Cargo International Wins New Rail Business in Hungary

PKP Cargo International has secured new work linked to Hungary’s large-scale railway modernisation programme. The Czech-based international freight subsidiary is now transporting railway turnouts on specialised wagons designed for oversized loads.

The new business was announced on LinkedIn by Łukasz Grzesło, Chairman of the Management Board and CEO of PKP Cargo International.

The turnouts are a demanding load. Their large dimensions require specialist wagons, while the individual components have to arrive at the construction site in the correct order and at the right time. Grzesło compared each turnout to a large railway puzzle: a set of precisely fitted elements that only form a complete unit once assembled.

Hungary Has Been Part of PKP Cargo International’s Network Since 2010

PKP Cargo International has operated in Hungary since 2010, originally under the name AWT Rail HU. The company was renamed PKP Cargo International HU in January 2020 as part of the integration of the former AWT businesses into the PKP Cargo Group.

Its Hungarian subsidiary provides domestic, international and transit rail freight services across the country. PKP Cargo International also operates its own locomotives in Hungary and cooperates with neighbouring carriers on cross-border traffic.

The company has been expanding its rolling stock over the past year, while Hungary is becoming increasingly important to its international operations as it lies on important north-south and east-west freight routes through Central Europe, linking traffic from Poland and Czechia with destinations further south and east.

Hungary Plans Nearly EUR 10 Billion in Railway Investment

In July, the new Hungarian government announced the Baross Gábor Railway Development Plan, a ten-year programme worth HUF 3.55 trillion (approx. EUR 10 billion) to modernise the country’s railways by 2035. Most of the funding is expected to come from the European Union. The programme covers new rolling stock, station renewals, electrification, track upgrades and the modernisation of both main and regional railway lines.

Several projects are also directly relevant to freight. The electrification and reconstruction of the line towards Nagykanizsa will serve both passenger and freight traffic, while the planned upgrade of the Budapest–Szeged corridor will improve the competitiveness of freight transport in southern Hungary.