Construction Underway: Advancements on Rail Baltica

Rail Baltica has progressed to the next stage of its consolidated construction materials procurement, marking significant advancement in the years-long infrastructure development.

The initiative aims to create a connected and compatible system for a future high-speed railway network across the Baltic region.

The project could introduce new employment opportunities and improved connectivity across the Baltic states, whilst establishing modern rail infrastructure that aligns with European standards.

Connecting the Baltic states

Rail Baltica represents a greenfield rail transport infrastructure project designed to integrate the Baltic states into the European rail network. The initiative directly involves four EU countries – Poland, Lithuania, Latvia and Estonia – with indirect connections to Finland. The network is planned to connect Helsinki, Tallinn, Pärnu, Riga, Panevėžys, Kaunas, Vilnius and Warsaw, establishing operational connectivity across the region.

Before World War II, the Baltic states were connected to Europe via a 1435 mm gauge railway, before transitioning to the Russian 1520 mm gauge. The current plans to reintegrate with the EU rail network could reduce travel times and improve operational efficiency.

The railway infrastructure could cut regional travel times by up to 50%, potentially making daily commuting more accessible for students and workers. The project may also enhance access to healthcare services and support community connections between major cities and regional areas.

According to project estimates, Rail Baltica is expected to generate 13,000 direct jobs, alongside more than 23,000 indirect and induced positions throughout the construction phase, with approximately 800 permanent roles in operations and infrastructure management anticipated once operational.

Framework agreements establish supply conditions

Rail Baltica has advanced to the subsequent phase of its consolidated construction materials procurement, with various framework agreements either signed or approaching finalisation. The procurement model, developed by Estonian, Latvian and Lithuanian delivery organisations, is considered vital to ensuring the railway infrastructure develops as a connected and compatible system.

Framework agreements establish conditions for pricing, performance, quality assurance and delivery schedules without requiring immediate financial commitments. This approach allows organisations to place orders and advance construction progress whilst securing supply chain reliability and maintaining operational flexibility.

The seven-year framework agreements are designed to ensure transparent supply conditions, competitive pricing and long-term planning aligned with EU funding principles. The agreements stipulate that materials used across the railway line must meet standard regulations, potentially developing improved reliability and more sustainable supply chains.

"By procuring track construction materials for the entire Rail Baltica mainline collectively, rather than on a country-by-country basis, we can secure the required supplies at the right quality and at competitive prices," says Thierry Boussillon, Chief Programme Management Officer and Member of the Management Board at RB Rail.

"Large-volume ordering strengthens our negotiating position and enhances price stability in a volatile construction market. 

"Harmonised technical standards across the three Baltic states ensure consistent material specifications and compliance with the highest safety requirements for high-speed rail, while strengthening certainty of delivery by enabling large-scale procurement from major, established suppliers in the international rail market," Thierry adds.

Construction materials become available

According to project estimates, the total maximum value of the superstructure comes to €1.13bn (US$1.3bn).

Contracts covering cableway systems, including multiducts and cable ducts, have been finalised, with materials now available for ordering. The sleeper contract was signed in December 2025 and has entered its commencement phase, with materials expected to become available for ordering from September 2026.

Rail contracts in Latvia have been signed and initial implementation is underway. Rails are expected to become available for ordering from July 2026, whilst railway ballast is anticipated to be available from September 2026. Additional contracts, including those for turnout systems, high-speed turnouts and rail expansion, have also reached conclusion.

The consolidated procurement approach is designed to streamline the supply chain across all three Baltic nations, reducing potential delays and ensuring material compatibility throughout the network. This coordinated strategy could contribute to more efficient project delivery and enhanced cost control as construction activities intensify across the railway corridor.

With the procurement of these construction materials progressing towards finalisation, the project's production phase could advance more efficiently.