Budapest-Belgrade | RailFreight.com

Serbia, Hungary and North Macedonia sign MoU with focus on BuBe railway

Dennis van der Laan — Tue, 07 Apr 2026 06:38:11 +0000

The Serbian rail freight operator Srbija Kargo, together with Hungarian and North Macedonian counterparts, has signed a memorandum of understanding on a “synchronised rail transport service”. In particular, the three parties focus on the Budapest-Belgrade railway to boost rail freight from China and within Europe.
Srbija Kargo, Rail Cargo Hungaria and Železnice Republike Severne Makedonije Transport hope to achieve “dynamic growth of trade between Europe and the wider region”. The Budapest-Belgrade railway takes centre stage in this plan. Since its opening for freight traffic in late February, the railway is a key artery for goods travelling on the north-south axis across the Balkans.

The plan envisages that rail freight transport among the signatory nations will meet and possibly exceed the volume recorded during the first decade of the 21st century, although the companies do not specify within which timeframe this should happen.

A Srbija Kargo locomotive. Image: © Serbia Cargo

“The cooperation covers two key directions: the transport of goods between China and Europe via existing rail corridors, as well as the transport of goods arriving in or departing from European ports, between terminals on the European continent, supplemented by road transport”, writes Srbija Kargo. Much Chinese freight enters the Greek port of Piraeus, from where it travels to the European hinterland through North Macedonia and Serbia.

“Transport organised in this way brings numerous advantages – faster delivery, shorter transit times, greater cost-effectiveness, reliability in accordance with the timetable, more efficient logistics processes and lower environmental impact”, Srbija Kargo continues.

Key goals of cooperation

Rail freight operations on the cross-Balkan route should improve through the “integration of rail transport relations”, the simplification of logistics chains, common digital solutions, and enhanced cross-border cooperation, the involved companies state.

Moreover, the MoU identifies various areas for future cooperation. These include the development of intermodal transport (semi-trailers, containers), interoperability, knowledge transfers, simplified customs procedures and a digital data exchange. It also mentions coordinated rail infrastructure development, joint marketing efforts, and personnel training as potential areas for collaboration.

Freight traffic starts along new Budapest-Belgrade line

Marco Raimondi — Fri, 27 Feb 2026 08:51:47 +0000

“Regular freight traffic started at dawn today (27 February) on the Budapest-Belgrade railway line”, said the CEO of Hungarian state-owned operator MÁV-csoport Hegyi Zsolt. The Hungarian and Serbian capitals are now officially linked by a modern railway infrastructure expected to significantly benefit rail freight.
The project was largely financed by Chinese entities, especially the Chinese Export-Import Bank. When it comes to rail freight, one of the main beneficiaries will be the Greek port of Piraeus, where Cosco is the majority shareholder. So far, three pairs of freight trains have been scheduled to run along the new Budapest-Belgrade railway, according to Serbian media citing the Hungarian ministry of transport.

The history of the project

Hungary considered the construction of a new line between Budapest and Kelebia, on the border with Serbia, as one whole project, which started in October 2021. Serbia, on the other hand, divided the new line between Belgrade and Subotica into sections. The renovation of the stretch between the capital and Novi Sad started in 2017 and was completed in 2022. For the Novi Sad-Subotica section leading into Hungary, construction started in November 2021.

The total investment for the Budapest-Belgrade new line should be around four billion euros, but it is difficult to have an exact figure. For the two Serbian sections (Belgrade-Novi Sad and Novi Sad-Subotica), contracts for more than 900 million euros each were awarded to a Chinese consortium formed by China Railway International and China Communications Construction Company. For the Hungarian part, the cost should revolve around two billion euros and was built by a Chinese-Hungarian consortium..

A curious request

Passenger traffic is expected to begin in a couple of weeks on 15 March. In his LinkedIn post, Zsolt had a somewhat peculiar requests for drivers who will find themselves crossing the railway. “For a long time, people living in the region could get used to the fact that there are no trains running on the tracks”, (…) We ask everyone not to drive out of habit: to approach railway crossings in full compliance with the traffic rules and with due care”, he stressed.

Budapest-Belgrade line to open for freight in six weeks

Marco Raimondi — Wed, 14 Jan 2026 10:03:20 +0000

Rail freight services along the new Budapest-Belgrade (BuBe) line are expected to start on 27 February 2026. The line will already be used at 100% capacity for freight trains, according to the Hungarian Minister of Construction and Transport János Lázár.
The line, connecting the capitals of Serbia and Hungary, has been largely financed by the Chinese Export-Import Bank. Currently, the final tests are being carried out and passenger services will commence on 15 March, two weeks after freight.

Once operational, the BuBe will provide an important modern rail freight artery in two of the main hubs in Eastern Europe. Moreover, it should facilitate traffic to and from the Greek port of Piraeus, a key point for China as it is owned by Cosco. The relevance of this infrastructure for China is also reflected in its inclusion in the Belt and Road Initiative.