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Siemens Mobility invests $220 million in new US manufacturing facility

Posted on 15 Mar 2023. Edited by: John Hunter. Read 3593 times.
Siemens Mobility invests $220 million in new US manufacturing facilitySiemens Mobility manufacturing facility in Sacramento, USA

Siemens Mobility, the USA’s largest passenger rolling stock manufacturer, will expand its manufacturing footprint by building a $220 million advanced manufacturing and rail services facility in Lexington, North Carolina. The facility will create more than 500 new jobs and be one of the city’s largest employers. With the increased production capacity, Siemens Mobility will fulfill the growing demand for passenger rail in America by producing some of the most innovative and sustainable passenger trains available in the North American market.

Dr Roland Busch, CEO of Siemens AG, said: “America’s investing in rail — and we are investing in America. Siemens has invested $3 billion in manufacturing expansions and M&A (mergers and acquisitions) activities in the USA over the past four years alone, including nearly $400 million to grow its US manufacturing footprint and over two and half billion dollars in strategic US acquisitions. This latest facility will build rail technology to help transform the everyday for millions of passengers around the country, particularly as the country sees a resurgence in public transit and intercity travel.”

Michael Peter, CEO at Siemens Mobility, said: “For more than 30 years, we have seen the US market continue to grow as we have manufactured over 3,000 locomotives, passenger coaches and Light Rail Vehicles in partnership with our 2,000 American suppliers, including more than 40 in North Carolina. We now look forward to expanding in North Carolina and on the East Coast and to continuing delivering sustainable rail in the USA. We are delighted to be in Lexington, which will work side-by-side with our long-established Sacramento factory in serving the increasing needs of the US rail industry from coast-to-coast.”

The passenger coach manufacturing factory, as well as first-of-its-kind locomotive and passenger coach overhauls facility will be on a 200-acre site allowing for future facility expansion. When it starts operations in 2024, it will incorporate some of the latest technologies found in the company’s Sacramento facility including robotic welding, 3-D printing, and Virtual Reality welder training. In addition, when fully operational the facility will be carbon neutral, playing an important role in Siemens Mobility’s sustainability commitments.

From the first light rail vehicle to be delivered to San Diego in 1984 to the 30,000 rail crossings across America, the company has contributed to the power of connection, jobs and investment to America’s cities with eight manufacturing facilities, 4,000 employees and more than 2,000 suppliers across the USA.

Siemens Mobility has been manufacturing in America for more than 40 years and Lexington, NC will be its ninth manufacturing site, with other facilities located in Alpharetta, Georgia, Louisville, Kentucky, Marion, Kentucky, Pittsburgh, Pennsylvania, New Castle, Delaware, Tualatin, Oregon and two facilities in Sacramento, California.

Lexington’s sister site will be the 60-acre, solar-powered, rolling stock facility in Sacramento, which has been manufacturing vehicles for more than 30 years and has delivered more than 3,000 locomotives, passenger coaches and light rail vehicles. The ‘Buy America’ compliant vehicles are built by the 2,500 employees in Sacramento, with the support of American suppliers across 40 states.

More than 40 transit agencies across the USA and Canada benefit from Siemens Mobility’s portfolio of light rail vehicles, locomotives, passenger coaches, components and automation systems, moving millions of passengers every year.

Siemens has been a national asset moving America forward for more than 160 years, investing $40 billion in the USA over the past two decades while serving the industries and infrastructure forming the backbone of the American economy. The company’s 45,000 employees across the USA and 21 manufacturing sites are developing and deploying technologies for more than 100 cities and 90% of Fortune 500 industrial companies.