Although Guatemala still has a network of 3 ft (914 mm) narrow gauge railroads, no passenger or freight trains currently run, except for occasional chartered tourist trains.
Construction of the first railway in Guatemala commenced in 1877 and the first section began operation in 1880, connecting Puerto San José and Escuintla, being extended to Guatemala City in 1884. The line to Puerto Barrios, known originally as Northern Railroad of Guatemala and still exists, was completed in 1908. The network was soon acquired by United Fruit, and in 1912 renamed the International Railways of Central America which was also known as IRCA. The railroad prospered until 1957. In 1954, United Fruit had to divest following an antitrust suit and in 1959, a parallel highway caused a serious competitive pressure. In 1968, the company defaulted, was taken over by the government and renamed Ferrocarriles de Guatemala which was also known as FEGUA. The condition of tracks continued to deteriorate and all traffic was shut down in 1996. Only nostalgic tourist trains (by Trains Unlimited) ran on parts of the network in 1997 and 1998.
In October 1997, a 50-year concession was given to Railroad Development Corporation (RDC) which started to rehabilitate the network. They were delayed by the need to evict squatters who built their cottages on the right-of-way during the previous years and to repair damage caused by thieves and nature. A serious blow was Hurricane Mitch in 1998, which destroyed parts of the line. The first train under RDC management went from Guatemala City to El Chile cement plant on April 15, 1999, and the rest of the line to Puerto Barrios was put into operation in December of that year. Other lines previously existing in Guatemala (such as to Ciudad Tecún Umán on the border with Mexico, to Anguiatú in El Salvador and to Puerto San José) have not been repaired since 1996. Including those, the railroad network would have counted 497 miles (800 km).