Two people have been rushed to hospital after a tram carrying about 30 people and a cement truck collided in Melbourne CBD, causing the tram to derail.

The truck driver and a tram passenger have been taken to the Royal Melbourne Hospital since the crash occurred at the intersection of Elizabeth and A’Beckett Street about 10.45am.

Ambulance Victoria has advised that one of the two patients has upper body injuries and the other while the other has lower body injuries.

A truck and a tram collided in Melbourne CBD. (Nine)
tram, truck
A tram has derailed in Melbourne after it collided with a cement truck. (Nine)

Both are believed to be in a stable condition.

No one else was injured in the crash, which has stopped traffic on Elizabeth Street between Victoria and La Trobe Street and on all of A’beckett Street.

The tram and the truck have been seen wedged together across the intersection, with damage to the side of the tram.

Motorists are being asked to avoid the area.

Police are investigating the crash.

September 2

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