The basement of the Saxo-Thuringian Zone consists of Upper Neoproterozoic (c. 650-570 Ma) Cadomian arc sediments (Lusatian greywackes) and voluminous intrusions of Early Cambrian granitoids with ages of c. 540 Ma (Lausitz Block and Karkonosze–Izera Massif). The latter basement complexes comprise several c. 505 Ma granites, granodiorites, and gneisses emplaced during the change from a collisional tectonic setting to rift-related geotectonics. We present a new age for the Rumburk granite of 504 ± 3 Ma linking Late Cambrian plutonism at the northern margin of Gondwana with the initial phase of a Cambro–Ordovician rift event. Trace element analysis points to a linkage of the Rumburk granite with other Late Cambrian aged rocks of the Karkonosze–Izera Massif. Furthermore, geochemical data also provide evidence of a melting and recycling of Lusatian greywackes by the intrusion of the Rumburk granite. The youngest age peak of the Rumburk granite at c. 504 Ma is considered to be the age of emplacement. Older inherited age populations at c. 540 and c. 610 Ma are present and likely the result of a melting and recycling of Lusatian granitoids and greywackes. The appearance of Neoproterozoic inheritance and Lu–Hf similarities with the Rumburk granite strongly suggest the Lusatian greywackes as source rocks. There is a significant age gap of c. 35 Ma between Cambrian plutonic and volcanic rocks in Saxo-Thuringia. Hence, we consider two distinct pulses of magmatic activity during the transition from the Cadomian orogeny to the opening of the Rheic Ocean.