Ukrzaliznytsia Plans to Become an EU Low-Cost Carrier and Switch to Ukrainian Tracks

"Укрзалізниця" прагне стати лоукостером на ринку ЄС та їздити по рейках вітчизняного виробництва.

Ukrzaliznytsia is considering entering the European Union passenger transport market as a low-cost carrier. According to the company’s head, Oleksandr Pertsovskyi, this requires the creation of infrastructure with European gauge tracks in Ukraine. Currently, these plans are in the preparation stage for implementation.

This is reported by Business • Media

Development of Railway Infrastructure and European Gauge

First and foremost, Ukrzaliznytsia is focusing its efforts on developing passenger hubs in Lviv, Uzhhorod, and Chernivtsi. A European gauge track is planned to be laid between these cities, which will allow for convenient transfers and integrate the Ukrainian railway into the European transport system. It is worth noting that the European gauge track to Uzhhorod is nearly completed, and the next project will be the line to Lviv (Sknyliv), for which the European Union has allocated 76 million euros.

“They will not be ‘re-gauging’ the entire railway network in Ukraine to European gauge, as the wider gauge currently in use is better for freight transport.

Restoration of Rail Production in Ukraine

After losing control over Mariupol, which supplied the railway with rails, Ukraine was forced to import this product from Japan, Austria, China, France, and Poland. This created additional challenges for the industry. Ukrzaliznytsia intends to restore its own rail production and is ready to sign a ten-year contract with a company that will start manufacturing them in Ukraine. The annual demand for rails for the Ukrainian railway is estimated at 60,000 to 80,000 tons.

The implementation of European gauge tracks and the revival of rail production are set to be key stages for integrating the Ukrainian railway into the European transport system and enhancing competitiveness in the international passenger transport market.