- The federal government has announced a $1.95 billion investment to renew VIA Rail's locomotive fleet and establish a new assembly plant in Canada.
- Transport Minister Steven MacKinnon emphasized that locomotive assembly is returning to Canada, which will create 1,200 new full-time jobs in skilled manufacturing and engineering.
- The investment includes $1.6 billion for the production of 45 new locomotives by Switzerland-based Stadler, marking the first domestic assembly in decades.
- A $357 million allocation will be used to build a new assembly and maintenance facility in Montréal, Quebec.
- The new locomotives will be powered by hybrid battery-diesel technology, making them the first hybrid trains in North America.
- This investment is part of the Government of Canada's commitment to modernize passenger rail and secure the future of long-distance, regional, and remote passenger rail services.
- VIA Rail CEO Mathieu Paquette stated that the aging fleet presents challenges, and this investment will provide the necessary tools to improve services for passengers.
Transport Minister Steven MacKinnon announced a significant $1.95 billion investment aimed at renewing VIA Rail's locomotive fleet, which includes replacing 45 aging trains and constructing a new assembly plant in Montreal. This initiative marks a pivotal shift in Canadian rail manufacturing, as it brings locomotive assembly back to Canada for the first time in decades.12
The investment comprises $1.6 billion for the production of new locomotives by Stadler, a Swiss rail manufacturer, and $357 million for the assembly and maintenance facility. The new locomotives will be powered by hybrid battery-diesel technology, making them the first hybrid trains in North America, with batteries sourced from ABB in Saint-Laurent.345
“An aging fleet comes with challenges. Today’s announcement gives us the tools we need to do better by our passengers,” said VIA Rail CEO Mathieu Paquette. The project is expected to create 1,200 full-time jobs across various sectors, including manufacturing and engineering, and the first trains are anticipated to enter service by 2031.7

This investment is part of the Government of Canada's broader commitment to modernize passenger rail, ensuring that VIA Rail can continue to fulfill its national mandate and maintain essential connections for communities across the country.6
“The investment includes $1.6 billion for 45 new hybrid locomotives and $357 million for a new assembly plant in Montréal, creating 1,200 full-time jobs. The first hybrid trains, powered by Canadian-made batteries, are expected to enter service by 2031, marking a significant modernization of VIA Rail's fleet.”