Siemens Mobility said its planned $220 million advanced manufacturing and rail services facility in Lexington, N.C., will incorporate technologies such as robotic welding, 3D printing, and virtual reality welder training. (Photo: Business Wire)
The company will invest $220 million in a facility that will add capacity to ‘push the boundaries of innovation’
March 7, 2023
LEXINGTON, N.C.—Rolling stock manufacturer Siemens Mobility will expand its manufacturing footprint by building a $220 million advanced manufacturing and rail services facility in Lexington. The facility is expected to create more than 500 new jobs and be one of the city’s largest employers, the company said in a press release.
With its increased production capacity, Siemens Mobility said it will aim to fulfill growing demand for passenger rail in America by producing “some of the most innovative and sustainable passenger trains in the North American market.”
The passenger coach manufacturing factory, plus a locomotive and passenger coach overhauls facility, will be on a 200-acre site that allows for future facility expansion. When it begins operations in 2024, it will incorporate some of the latest technologies in Siemens Mobility’s Sacramento, California facility, including robotic welding, 3D printing, and virtual reality welder training. The facility will also be carbon neutral when fully operational, according to Siemens Mobility.
The manufacturer said that the Bipartisan Infrastructure Law is enabling American rail and transit operators to make critically needed investments in infrastructure that will position the country to meet the needs of its citizens with rail networks designed for future generations. According to Siemens AG CEO Roland Busch, Ph.D., America is “investing in rail” and Siemens is “investing in America.”
“Siemens has invested $3 billion in manufacturing expansions and M&A activities in the U.S. over the past four years alone, including nearly $400 million to grow its U.S. manufacturing footprint and over two and half billion dollars in strategic U.S. acquisitions,” Busch said in the release. “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.”
Siemens said it has been moving America forward for more than 160 years, investing $40 billion in the United States over the past two decades while serving the industries and infrastructure that form the backbone of the American economy. According to Marc Buncher, CEO of Siemens Mobility North America, the new facility supports Siemens Mobility’s strategy to grow in close proximity to its customers, and to “provide added capacity needed to push the boundaries of innovation.“
“After four decades of manufacturing trains in America and on behalf of all 4,000 Siemens Mobility employees in the U.S., we are excited to announce that we will expand to our new East Coast hometown in Lexington, North Carolina,” Buncher said in the release. “Thanks to the administration’s vision and strong ambition to put rail on the national agenda, and the funding available to our customers in the Bipartisan Infrastructure Law, now is the moment in time for rail in America.”
Lexington is in Davidson County and home to nearly 20,000. It is located in the Piedmont Triad, a commerce hub with easy access to transportation and a strong workforce in central North Carolina. Siemens Mobility will be receiving a Job Development Investment Grant from the state of North Carolina. Over the course of the 12-year term of the grant, the facility is estimated to grow the state’s economy by $1.6 billion, the company said in the release.
“Siemens’ announcement to expand their manufacturing to Lexington is a big win for the region and will create more than 500 jobs,” said U.S. Senator Thom Tillis, in the release. “I applaud Siemens for their investment in our great state and the critical role they play in improving our country’s transportation and infrastructure.”
Lexington’s sister site will be Siemens Mobility’s rolling stock facility in Sacramento, a 60-acre site that is powered up to 80 percent by solar power. The Sacramento facility has been manufacturing vehicles for more than 30 years and has reportedly 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, the company said.
“Today’s announcement from Siemens is further proof that when the public and private sector work together, we can build a better America—powered by world-class, sustainable transit and rail that makes it easier for families to see their loved ones, domestic manufacturing that strengthens our global competitiveness, and good-paying jobs for all,” said Senior Advisor to the President and White House Infrastructure Implementation Coordinator Mitch Landrieu, in a statement.
Subscribe Now
Design-2-Part Magazine
Get the manufacturing industry news and features you need for free in a format you like.
