Economy

Koralmbahn opens: once-in-a-century opportunity for southern Austria!

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An epochal event for Styria and Carinthia

On 12 December 2025 it was finally time: with the ceremonial opening of the Koralmbahn a new era begins for Styria and Carinthia. The two central urban areas Graz and Klagenfurt are now connected in just 45 minutes, giving a strong boost to a joint economic area: AREA SÜD. The presidents of the Chambers of Commerce of Styria and Carinthia, Josef Herk and Jürgen Mandl, describe this project as a once-in-a-century opportunity for southern Austria.

Decades of planning and construction

After decades of planning and construction, the Koralmbahn is now a reality. This landmark project offers many opportunities for Styria and Carinthia. The two regions are drawing closer not only geographically but also economically, creating a joint economic area that is the second largest in Austria. AREA SÜD covers about one third of Austria's area and comprises around 1.8 million inhabitants, over 50,000 employer businesses and 730,000 employees, generating an economic output of almost 70 billion euros.

Positive response from business

A survey by the Chambers of Commerce of Styria and Carinthia among 1,085 member companies shows that 90 percent rate the strengthened cooperation between the two states as positive or mostly positive. Companies see the greatest opportunities in higher labor mobility (61 percent), better accessibility of districts (59 percent) and increased economic significance (52 percent).

Political measures for success

For the Koralmbahn to be a success, political measures are necessary. 67 percent of respondents call for a faster expansion of infrastructure, particularly in the areas of broadband, photovoltaics and pumped-storage power plants. 57 percent advocate for harmonization of state laws, while 51 percent support a joint brand presence. For this reason, the Chambers of Commerce have launched the umbrella brand AREA SÜD to institutionalize a strategic and operational alliance.

Infrastructure measures in focus

  • Expansion of the most important rail sections along the Koralmbahn: Graz – Bruck section and freight route Klagenfurt–Villach
  • Expansion of central railway lines away from the Koralmbahn: InterRegio connection Klagenfurt – Bruck/Mur
  • Expansion of secondary and feeder connections to the Koralmbahn: public transport expansion in Upper Carinthia and expansion of railways in the south/east of Styria
  • Expansion of cross-state road infrastructure: safety upgrades S36/37
  • Connecting Graz Airport to the Koralmbahn and preserving or revitalizing the Kühnsdorf freight loading station

Making the business and living location more attractive

  • Deregulation offensive at the state level
  • Lower network tariffs and expand energy grids
  • Expansion of school offerings in the HTL sector and cooperation in higher education
  • Comprehensive childcare provision in urban and rural areas
  • Joint marketing of AREA SÜD's tourism offerings

A new era for the region

Josef Herk, President of the Chamber of Commerce Styria, emphasizes: "For southern Austria the Koralmbahn is a once-in-a-century opportunity. Along the Graz–Klagenfurt axis it creates the country's second-largest metropolitan area, which is also significant on an international scale." Jürgen Mandl, President of the Chamber of Commerce Carinthia, adds: "The Koralmbahn brings together what belongs together. For Carinthia this is a real quantum leap — we are no longer peripheral, but at the heart of a new center of economic dynamism."

Future outlook: What can we expect?

The future of AREA SÜD looks promising. With the Koralmbahn at its core, the region is expected to gain national and international significance. Increased economic cooperation could lead to a rise in business locations and innovations. The infrastructure projects planned in connection with the Koralmbahn will not only improve mobility but also enhance the quality of life for people in the region.

Experts agree that the Koralmbahn is a catalyst for economic growth. "The Koralmbahn will not only revolutionize passenger transport but also make freight transport more efficient," explains Dr. Maximilian Hofer, transport expert at the University of Graz. "This could, in the long term, lead to an increase in the region's competitiveness in the European context."

A comparison with other regions

The success of the Koralmbahn could serve as a model for other regions in Austria and Europe. Similar projects, such as the Gotthard Base Tunnel in Switzerland, have shown that improved transport connections can lead to significant economic upturns. The Koralmbahn has the potential to make the region not only a national but also an international transport hub.

Concrete impacts on citizens

Citizens in the region will benefit directly from the Koralmbahn. The shortened travel time between Graz and Klagenfurt will ease commuter traffic and improve quality of life. In addition, increased economic activity will create jobs and raise the region's prosperity. "The Koralmbahn is not just a transport project, but a quality-of-life project," Dr. Hofer continues.

Conclusion

The opening of the Koralmbahn marks the beginning of a new era for Styria and Carinthia. With AREA SÜD as a new economic center in Austria, the two states face exciting times. The political and economic measures implemented in connection with the Koralmbahn could make the region a showcase location in Europe. The future looks bright, and the Koralmbahn is the train driving that future.