The Jinan-Qingdao line will reopen about 8 am today, the Ministry of Railways said yesterday.
The accident disrupted traffic on the 384-km trunk line between the two big cities in Shandong. The line was built by German engineers in Qingdao in 1901 and opened to traffic in 1904.
Thousands of passengers were stranded at stations in Shandong yesterday and authorities were kept busy transferring them to other stations. Others were accommodated in local hotels.
Cranes and forklifts were sent to the site of the accident at midday to remove wrecked carriages and damaged rails.

By 5 pm, more than 1,000 workers were still repairing the line. Floodlights have been installed for overnight repair work.
There were no train cancellations in Beijing, but there were some delays to Xuzhou, Zibo, Yantai and Qingdao, a conductor at the Beijing railway station, said.
However, although tickets for these destinations were available both online and at the station`s ticket windows, many went to the station for refunds after hearing about the accident.
"I am not sure how long the route will take to reopen," a passenger surnamed Chen said.
He said that he was planning to visit Qingdao for the forthcoming Labor Day holidays.
Yu Xiang, a university student in Beijing from Weifang, Shandong province, went to the station to enquire whether his train home had been delayed.
The conductor replied: "Delayed for sure, how long, unsure until further instructions", Yu said.
Qingdao railway station said trains D608, D610, D56, and K296 had all been canceled yesterday.
Xinhua contributed to the story