Canada invests CA$2B in passenger locomotive manufacturing

The Government of Canada is investing CA$1.95 billion to renew VIA Rail's long-distance, regional and remote locomotive fleet while bringing passenger locomotive assembly back to the country for the first time in decades.

Canada allocated CA$1.6 billion for the production of 45 new locomotives by Stadler. The Swiss rail manufacturer has a global center of competence facility for mainline locomotives in Spain; Stadler will leverage both global and Canadian supply chain partners to complete up to 36 locomotives in Canada.

Another CA$357 million is allocated to VIA Rail for construction of a new assembly and maintenance facility in Montreal, Quebec, where the Canadian locomotive assembly will take place. To be built by Pomerleau, the facility will support the maintenance and operation of the new fleet at VIA Rail's Montreal Maintenance Centre in the long term, Transport Canada officials said in a press release. 

The new locomotives will be hybrid battery-diesel with batteries supplied by ABB's Saint-Laurent facility in Quebec. The locomotives will replace VIA Rail's aging fleet and become the first hybrid-powered passenger locomotives in North America, they added.

"This investment showcases the strength of Canada's economic partnership with Europe, combining world-class expertise with Canadian manufacturing to support innovation, strengthen supply chains, create skilled jobs and deliver lasting economic benefits for Canadians," Transport Canada officials said.