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Feds announce almost $2B for 45 hybrid battery-diesel Via Rail passenger locomotives
Ottawa says the project will create 1,200 full-time jobs and make North America’s first hybrid-powered passenger locomotives.
On July 29, 2026, The Liberal government announced a nearly $2 billion investment to modernize Via Rail's fleet with 45 new hybrid battery-diesel passenger locomotives.
Switzerland-Based Stadler will manufacture the fleet, with the first nine units built in Spain and the remaining 36 assembled in Montreal by Canadian workers.
Transport Minister Steven MacKinnon announced $357 million for a new Montreal assembly plant built by Pomerleau, while ABB will supply batteries from its Saint-Laurent facility in Quebec.
Supporting 1,200 full-time jobs, the project marks the first time in more than 25 years that passenger rail locomotive assembly has returned to Montreal.
These trains will become North America's first hybrid-powered passenger locomotives, laying the groundwork for future zero-emission propulsion, with initial deliveries expected by 2031.