HomeAround the province$4.7-billion VIA Rail contract to bring passenger rail car manufacturing back to...

$4.7-billion VIA Rail contract to bring passenger rail car manufacturing back to Canada

Ontario Construction News staff writer

A $4.7-billion federal investment in VIA Rail’s new passenger fleet is expected to generate significant work for Canadian manufacturers, skilled trades and suppliers, with 313 new rail cars to be designed, engineered and manufactured in Ontario and Quebec.

Alstom has signed an agreement with VIA Rail Canada to build the new Long Distance, Regional and Remote fleet, including approximately $4 billion for the manufacture and delivery of the cars and nearly $700 million for a 15-year Technical Support and Spare Parts Supply Agreement.

The project represents the first time in four decades that VIA Rail passenger cars will be built entirely in Canada.

The new Adessia fleet will be manufactured and assembled at Alstom facilities in Thunder Bay, Ont., and La Pocatière, Que., with design and engineering work taking place in Saint-Bruno-de-Montarville, Que.

The federal government estimates the project will support nearly 700 jobs across Ontario and Quebec and generate more than $1.6 billion in economic benefits.

The project is also expected to create opportunities throughout Canada’s manufacturing supply chain. Alstom will draw on its network of more than 900 Canadian suppliers and maximize the use of Canadian steel in structural assemblies, supports and fabricated metal components.

Prime Minister Mark Carney highlighted the range of skilled trades that will be involved in producing the new fleet during an announcement at Alstom’s Thunder Bay plant.

“They’ll be Canadian electricians that install the wiring, Canadian machinists that will make the precision parts, Canadian welders will build the steel frames from Canadian carbon steel,” Carney said.

“That work reaches well beyond the factory floor into communities across our country.”

via rail cars announcementThe investment is part of the federal government’s Buy Canadian Policy, which promotes the use of Canadian companies, workers and materials in government procurement.

Transport Minister Steven MacKinnon said the project will strengthen Canada’s domestic rail manufacturing sector while creating skilled employment.

“Canadians deserve a passenger rail system that is modern, reliable and built to serve them for generations to come,” MacKinnon said.

“This investment delivers exactly that while supporting good-paying Canadian jobs and strengthening our domestic rail manufacturing sector.”

The project will replace VIA Rail’s existing long-distance fleet, including cars that are up to 77 years old. The new equipment will serve eight major routes connecting nearly 400 communities across Canada, including communities in remote and northern areas.

The fleet will consist of nine different car configurations, including coach, sleeper, accessible, berth, prestige, panorama, dome, dining and baggage cars.

The cars are being designed to withstand Canada’s extreme climate conditions while providing updated passenger amenities, including improved accessibility, digital connectivity and more spacious interiors.

“This project marks the beginning of a new chapter between Canada’s national passenger railway company and the country’s local rail manufacturer,” said Michael Keroullé, president of Alstom Americas. “Together, we are building a fleet for Canadians, by Canadians, and it will move the country forward for generations to come.”

The Thunder Bay plant is also involved in another major transit manufacturing project, with final assembly underway on new subway cars for the Toronto Transit Commission.

The federal government and Alstom have not yet announced a detailed construction and production schedule for the new VIA Rail fleet.

Robin MacLennan, Editor, Ontario Construction News
Robin MacLennan, Editor, Ontario Construction News
Robin MacLennan has been a reporter, photographer and editor at newspapers and magazines in Barrie, Toronto and across Canada for more than three decades. She lives in North Bay. After venturing into corporate communications and promoting hospitals and healthcare, she happily returned to journalism full-time in 2020, joining Ontario Construction News as Writer and Editor. Robin can be reached at rmaclennan@ontarioconstructionnews.com
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