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Feds announce almost $2B for 45 hybrid battery-diesel Via Rail passenger locomotives
The investment will support 1,200 jobs and bring 36 of the 45 locomotives to Canada for assembly, officials said.
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.