Bombardier opening new California rail-car assembly site

SHARE:

© Reuters. Bombardier logo LABACE in Sao Paulo© Reuters. Bombardier logo LABACE in Sao Paulo

By Allison Lampert

(Reuters) - Canada's Bombardier is opening a new facility in California that will assemble rail cars for San Francisco's rapid transit system by year's end, and potentially serve other West Coast rail projects.

The plane and train maker said in a news release that it will use the site for a 775-car contract with the San Francisco Bay Area Rapid Transit District (BART).

Rail car work for the San Francisco contract will be transferred to the new site in Pittsburg, California from Bombardier's existing plant in upstate New York, the company said.

Bombardier took possession this month of the space, which it is renting from Hitachi, a Bombardier spokesman said. The company is eying other California contracts as its rail division pursues high-single digit growth in North America.

Bombardier said the new facility will help it meet U.S. content requirements. Railmakers awarded federally funded contracts for rolling stock in the United States will be required to complete 70% of the order with American content next year, compared with 60% in 2016, when the requirements were announced by the U.S. Federal Transit Administration (FTA).

Bombardier declined to disclose the value of the new site.

Bombardier’s rail division, its largest unit, has faced recent headwinds due to delivery delays and production problems at a handful of long-term projects, forcing the company to cut its first-quarter and full-year revenue targets for the division.

But Bombardier sees opportunities in the United States, rail division president Danny Di Perna told Reuters in May, and the company is eying a series of Los Angeles transit projects to coincide with the 2028 Summer Olympic and Paralympic Games.

“The Pittsburg site will also enable Bombardier to pursue additional business opportunities in the growing rail transit equipment market on the West Coast and to serve this market with increased effectiveness," said Elliot Sander, president of Bombardier Transportation's Americas division, in the statement.

Original Article

COMMENTS

Name

Commodities,3249,Economic Indicators,2164,Economy,6986,Forex,1670,Politics,2477,Sports,7826,Stock Markets,13289,Tech,3677,World News,1849,
ltr
item
Business, Financial News and U.S, International Breaking News and more | ReutersHerald: Bombardier opening new California rail-car assembly site
Bombardier opening new California rail-car assembly site
https://i-invdn-com.akamaized.net/trkd-images/LYNXNPEF5D1V0_L.jpg
Business, Financial News and U.S, International Breaking News and more | ReutersHerald
http://www.reutersherald.com/2019/06/bombardier-opening-new-california-rail.html
http://www.reutersherald.com/
http://www.reutersherald.com/
http://www.reutersherald.com/2019/06/bombardier-opening-new-california-rail.html
true
7847844249671807439
UTF-8
Loaded All Posts Not found any posts VIEW ALL Readmore Reply Cancel reply Delete By Home PAGES POSTS View All RECOMMENDED FOR YOU LABEL ARCHIVE SEARCH ALL POSTS Not found any post match with your request Back Home Sunday Monday Tuesday Wednesday Thursday Friday Saturday Sun Mon Tue Wed Thu Fri Sat January February March April May June July August September October November December Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec just now 1 minute ago $$1$$ minutes ago 1 hour ago $$1$$ hours ago Yesterday $$1$$ days ago $$1$$ weeks ago more than 5 weeks ago Followers Follow THIS PREMIUM CONTENT IS LOCKED STEP 1: Share. STEP 2: Click the link you shared to unlock Copy All Code Select All Code All codes were copied to your clipboard Can not copy the codes / texts, please press [CTRL]+[C] (or CMD+C with Mac) to copy