Estonia's Lux Express to expand operations in Latvia, Lithuania

TALLINN - Estonian intercity bus operator Lux Express, which transformed the Latvian domestic route market and carried 200,000 passengers in that country in 2024, plans to double its capacity in Latvia this year with a new route opening in the summer that will allow Estonians to travel via Riga to the Lithuanian sea resort towns of Palanga and Klaipėda.

In 2024, 2.1 million passengers traveled between Estonian cities with Lux Express. Including international routes, the company served a total of 3.17 million passengers during the year, marking an increase of 14.6 percent from 2023.

Lux Express, which operates in four countries, placed its focus on Latvia in 2024. Previously, Latvia's long-distance bus services operated entirely on state subsidies, with service rights often going to the lowest bidder. Lux Express demonstrated that it is possible to provide high-quality and affordable mobility services without government support. Thanks to this strategic breakthrough, Lux Express launched routes from Riga to Daugavpils and Liepāja -- Latvia's second- and third-largest cities -- in May. Alongside local residents, more than 10,000 tourists traveled on these routes, with a significant number coming from Estonia and Germany.

Elīna Šimiņa-Neverovska, deputy secretary general of the Latvian Ministry of Transport, said the expansion of Lux Express into Latvia has positively impacted the entire sector by intensifying competition in passenger transport services, which ultimately benefits passengers.

Ingmar Roos, member of the management board of Lux Express, said the company aims to double its operations on domestic routes in Latvia this year.

"The high quality of our service, which is customary in Estonia, has brought a new quality standard to domestic routes in Latvia, which passengers have well received. Demand has exceeded our expectations, and the number of passengers has grown faster than we predicted," Roos said.

He noted that the company's success has attracted attention among competitors.

"It is evident that other market participants have also started to put in more effort, which ultimately benefits the entire market and especially the passengers," Roos said.

In response to passenger interest and expectations, Lux Express will extend the Riga-Liepāja route across the border to the popular Lithuanian resort towns of Palanga and Klaipeda starting this summer.

"This also expands opportunities for Estonians, as residents of Tallinn, Narva, Tartu, and Pärnu will be able to take a bus to these popular holiday destinations that were previously only accessible by car. The journey will be smooth, with only one transfer in Riga," said Roos.

The Latvian Ministry of Transport also sees a positive impact in Lux Express' plans.

"The new routes to Palanga and Klaipeda, planned by the Estonian mobility company for the summer, will improve cross-border connectivity and increase travel opportunities for residents of the Baltic region," said the deputy secretary general of the ministry.

On other international routes, Lux Express' operations are affected by the war in Ukraine, which has brought more passengers to the Vilnius and Warsaw routes and has led to a strong downward trend on the St. Petersburg route.