Sacramento, a longtime train-manufacturing hub, is about to become a busier builder than ever.
Siemens Mobility, part of the Germany-based international manufacturing giant, announced it has scored two of the largest train construction contracts in the 25-year history of its Sacramento assembly plants, together accounting for $1.6 billion in work.
A spokeswoman said company executives are calling this “a December to remember” and that the company likely will make more hires at two Sacramento sites.
The company announced on Friday it has signed an $850 million contract to design and build 75 Charger diesel-electric locomotives for Amtrak, the U.S. national passenger railroad.
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The new locomotives with a 125-mph top speed will supplement Amtrak’s existing fleet and will be used across the country, including on several lines that run to and from the Golden State — the California Zephyr line, Sunset Limited, Southwest Chief and Coast Starlight.
Siemens officials said they will begin delivering the locomotives in summer 2021. Siemens first began building Amtrak locomotives a decade ago as part of its efforts to expand the Sacramento facility. The facility has been prepped for bullet train assembly as well.
“We’re proud and grateful to expand our relationship with Amtrak,” Sabrina Soussan, CEO of Siemens Mobility, said in a press statement. “We’re confident that the new locomotives will assist Amtrak in its mission to provide safe, world-class, environmentally responsible technology for its passengers.”
The new locomotives have Tier 4 emissions technology, making them more environmentally sound than previous generations.
The Amtrak deal announcement comes just one week after Siemens announced it had signed a $735 million contract with Canada to design and build 32 of that country’s new VIA Rail Canada’s train sets.
Michael Cahill, president of Siemens Rolling Stock, North America, said the new contracts will lead to more hires, but he did not specify when or how many.
“We are currently adding new positions as our demands grow,” Cahill said in a press statement. “Our organization currently has in excess of 1,300 people working here and we plan to add more in the future.”