François Bausch delivered the news during an urgently scheduled press conference at 12:30, after a freight train and a passenger train collided close to the factory of Husky Injection Molding, between Dudelange and Bettembourg at around 8:55am.
Among the injured is the driver of the freight train and a female ticket inspector, neither of whose injuries were said to be life-threatening.
Bausch said that the freight train driver had tried to brake and then braced himself upon seeing the passenger train approaching on the same track.
Luxembourg rail operator CFL meanwhile said that the passenger train did not respect a stop signal, Paperjam reports.
The passenger train itself was fairly empty given that most passengers had disembarked prior to the accident.
The minister did not expand on the speed at which both trains were travelling. The permitted speed in this area is 60km/h.
According to Interior minister Dan Kersch, the on-board alarm was sounded by the controller, at 8:55am, alerting emergency services to the incident.
Between 50 and 70 people from various emergency services were at the scene to help victims on Tuesday.
A full investigation is expected to be carried out into the causes of the incident.
All trains on line 90, between Luxembourg and Metz via Thionville, were cancelled on Tuesday for an estimated 48 hours. Luxembourg rail operator CFL said replacement trains to Metz would operate via Longwy, Uckange, Hagondange and Malzières-les-Metz.
Rail replacement buses will also operate between Bettembourg and Thionville meanwhile travellers can also use the cross-border bus service.