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Luxembourg's first horse-drawn tram line began operations in 1875 running through Luxembourg City along a 10 km line. Electrification followed in 1908.
The original track followed a route from Luxembourg railway station through the city centre to Limpertsberg. It was extended to various parts of the city until 1930 when the network covered 31 km. Several lines were closed at the beginning of the 1960s as buses replaced the trams. The last tram ran on the line to Beggen on 5 September 1964.
A number of historic trams can be seen at Luxembourg City's tram and bus museum located on Rue de Bouillon in Hollerich. In particular, the museum exhibits two electric trams, two tram coaches, and a replica of a horse tram. There are also numerous models and photographs.
A second generation of trams began operational service in December 2017, along a new route that will, by 2023, run through the city from Luxembourg Airport to the Cloche d'Or business district, in Gasperich, serving the new national stadium. Additional lines are planned for the network both within Luxembourg City, and extending to Strassen and Esch-sur-Alzette.