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Friday, October 23, 2026

“Canada Invests $4.7B in Via Rail for Made-in-Canada Cars”

In a significant move under its Buy Canadian Policy, the federal government has allocated over $4.7 billion for Via Rail to purchase and upkeep 313 new passenger rail cars from Alstom Canada. This marks the first time in forty years that Via Rail passenger cars will be entirely manufactured in Canada, with the majority of the current fleet originating from the United States.

During an event at the Alstom Plant in Thunder Bay, Ont., Carney highlighted the involvement of Canadian electricians, machinists, and welders in the production process. The new cars will be constructed and assembled in Thunder Bay and La Pocatière, Que., with design and engineering tasks managed in Saint-Bruno-de-Montarville, Que.

The government anticipates the project to contribute over $1.6 billion to the economy and create nearly 700 jobs in Ontario and Quebec. Describing it as the “contract of the decade,” Michael Keroullé, Alstom Americas’ president and CEO, emphasized the necessity of replacing the aged 70-year-old cars currently in use by Via Rail.

The initiative coincides with another significant project at the plant, which involves the final assembly of new subway cars for the Toronto Transit Commission. The timeline for the construction of the Via Rail cars has not been finalized yet.

Mathieu Paquette, interim CEO of Via Rail Canada, hailed the announcement as a substantial investment in critical infrastructure, emphasizing the essential role of rail services for many Canadians. The new fleet will feature various sleeper cars and panorama dome cars, promising a renewed and enhanced experience for passengers.

Justin Roberts, president of Unifor Local 1075, expressed relief for the workers at the Alstom Plant, noting that the contract brings much-needed job security and stability after a period of uncertainty. Several local organizations, including the Thunder Bay Community Economic Development Commission and Northwestern Ontario Municipal Association, lauded the contract, with Charla Robinson, president of the Thunder Bay Chamber of Commerce, highlighting the collaborative effort that led to this milestone agreement.

Despite ongoing tensions between Canada and the U.S., investments like these provide reassurance amidst global uncertainties, offering long-term benefits such as a stronger community, enhanced manufacturing sector, local job opportunities, and training prospects for years to come.

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