Canada’s federal government announced a $1.9 billion investment on July 29, 2026, to replace 45 of Via Rail’s aging locomotives and construct a new assembly and maintenance facility in Montreal. This funding includes $1.6 billion for locomotive replacements and $357 million dedicated to the new facility’s construction.
Current Fleet and New Train Production
Via Rail currently operates 52 General Motors F40PH-2 locomotives, introduced in the late 1980s. Although not yet at end of life, these locomotives require increasing maintenance due to their age. The new trains will be built by Switzerland-based Stadler, with the first nine locomotives constructed in Spain. Following this, the remaining 36 will
be assembled in Canada by workers trained by their Spanish counterparts.
These trains are set to be the first hybrid locomotives in North America, featuring Canadian-made batteries designed by Stadler to operate reliably in temperatures as low as -50°C.
Expected Benefits and Job Creation
Transport Minister Steven MacKinnon emphasized the return of locomotive assembly to Canada and stated that the investment aims to improve rail service quality. The project will create 1,200 full-time jobs at the new Montreal facility.
Via Rail CEO Mathieu Paquette highlighted that the new hybrid locomotives will provide better performance and reliability, alongside reductions in emissions and fuel consumption. Paquette described
the challenges with the current fleet and expressed optimism about improving passenger service with the upgraded equipment.
Maintenance Challenges of Aging Fleet
The existing fleet endures significant maintenance challenges exacerbated by extreme weather fluctuations on routes, such as temperatures ranging from 10°C in London, Ontario, to -35°C in Quebec City during winter. Via Rail spokesperson Karl Helou indicated the effort to maintain these locomotives grows exponentially as they age, though the trains remain safe to operate.
Service Expectations and Exclusions
Officials expect these locomotive upgrades to enhance Via Rail’s on-time performance and overall customer experience. MacKinnon noted that reliable train service is vital to attracting ridership across Canada.
The
replacement program does not include the Windsor-Quebec City corridor, where Via Rail has already introduced Siemens Charger locomotives since 2022, and where the future Alto high-speed rail line is planned.
Paquette also confirmed an upcoming announcement regarding the replacement of Via Rail’s passenger cars is forthcoming, though no specific details have been provided.
