Prime Minister Mark Carney announced a $4.7 billion contract to build 313 new passenger cars for Via Rail on Thursday.
Carney made the announcement at the Alstom plant in Thunder Bay, Ont., where the cars will be built. The government says these will be the first Via Rail passenger cars built in Canada in 40 years.
"Our rail cars on our long-distance and remote routes are more than 70 years old. They were built when the NHL had six teams. Goalies wouldn't wear masks. The Leafs would win the (Stanley) Cup," Carney said in prepared remarks.
"Those old cars have served our country well, but they're long overdue for retirement. It's time to build new ones, to build them here at home."
Transport Minister Steven MacKinnon said it's the single largest investment in Via Rail's history and the project will lead to 700 new jobs.
In July, the government announced plans to spend $1.6 billion to replace 45 of Via Rail’s aging locomotives and another $357 million to build a new assembly plant and maintenance facility.
Those new trains are expected to come in 2031. It's not clear when the new passenger cars will be delivered.
This report by The Canadian Press was first published Sept. 3, 2026.
— With files from Nick Murray in Ottawa.
