During the Industrial Revolution, in the 19th century, the city of Karlsruhe grew well beyond its then city limits.
In 1850–1890 alone, the population quadrupled to nearly 100,000 inhabitants, making it necessary to create a better transportation system.
A horse-drawn tramway was first proposed unsuccessfully in 1869.
On 21 January 1877, the first horse-drawn tramway was opened from Gottesauer Platz to Mühlburger Tor in an east–west direction through the city of Karlsruhe.
In the same year, this was followed by a branch line to the old railway station and an approximately 2 km extension from Mühlburger Tor west to Mühlburg.
The track was built to standard gauge.

On 16 July 1881, an approximately 4 km line was opened to the east from Durlacher Tor in Karlsruhe to the town of Durlach.
Because of the greater distance, this line was not horse-hauled, but operated as a steam tramway.
After 1881, the extent of the tram system remained unchanged for 19 years.

The horse and steam trams had no great commercial success.
Although passenger numbers grew steadily from 1.6 million passengers in 1882 to 2.5 million in 1893 and 3.6 million in 1899, the financial situation of the company was poor.
So the ownership of the tramway changed several times in the early years of its existence, until a permanent solution was found with the founding of the Vereinigte Karlsruher, Mühlburger und Durlacher Pferde- und Dampfbahngesellschaft (United Karlsruhe, Mühlburg and Durlach Horse and Steam Railway Company).
In 1893, the company owned five steam locomotives for the line to Durlach, 46 horses and 32 carriages, including 15 for steam operations.
During the Industrial Revolution, in the 19th century, the city of Karlsruhe grew well beyond its then city limits. In 1850–1890 alone, the population quadrupled to nearly 100,000 inhabitants, making it necessary to create a better transportation system. A horse-drawn tramway was first proposed unsuccessfully in 1869. On 21 January 1877, the first horse-drawn tramway was opened from Gottesauer Platz to Mühlburger Tor in an east–west direction through the city of Karlsruhe. In the same year, this was followed by a branch line to the old railway station and an approximately 2 km extension from Mühlburger Tor west to Mühlburg. The track was built to standard gauge.
On 16 July 1881, an approximately 4 km line was opened to the east from Durlacher Tor in Karlsruhe to the town of Durlach. Because of the greater distance, this line was not horse-hauled, but operated as a steam tramway. After 1881, the extent of the tram system remained unchanged for 19 years.
The horse and steam trams had no great commercial success. Although passenger numbers grew steadily from 1.6 million passengers in 1882 to 2.5 million in 1893 and 3.6 million in 1899, the financial situation of the company was poor. So the ownership of the tramway changed several times in the early years of its existence, until a permanent solution was found with the founding of the Vereinigte Karlsruher, Mühlburger und Durlacher Pferde- und Dampfbahngesellschaft (United Karlsruhe, Mühlburg and Durlach Horse and Steam Railway Company). In 1893, the company owned five steam locomotives for the line to Durlach, 46 horses and 32 carriages, including 15 for steam operations.
Trams in Karlsruhe