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Siemens Mobility Breaks Ground on $220MM N.C. Train Manufacturing Facility Expansion

Written by Carolina Worrell, Senior Editor
When it begins operation in 2024, the new Lexington facility will incorporate some of the latest technologies found in Siemens Mobility's Sacramento facility.

When it begins operation in 2024, the new Lexington facility will incorporate some of the latest technologies found in Siemens Mobility's Sacramento facility.

Siemens Mobility on Aug. 23 broke ground on its $220 million advanced manufacturing and rail services facility in Lexington, N.C., which the company says will “create more than 500 new jobs and be of one of the city’s largest employers.”

Siemens Mobility President of Rolling Stock, North America, Michael Cahill and President of Customer Service, North America, Michael Tyler, were joined by U.S. Senator Ted Budd, Lexington Mayor Jason Hayes, Rep. Stephanie Blair, and Former City Manager Terra Greene, along with North Carolina Railroad Co. representatives, North Carolina Department of Transportation (NCDOT) and other local stakeholders to celebrate the milestone.

“A huge milestone in the opening of this new facility, our team is excited about our future in Lexington and the great state of North Carolina,” said Siemens Mobility North America CEO Marc Buncher. “This is not just an investment in rail, but an investment in manufacturing, jobs, sustainability, digitalization and the future of modern transportation.”

First announced in March 2023, the passenger coach manufacturing facility, as well as first-of-its-kind locomotive and passenger coach overhauls will be on a 200-acre site located within North Carolina’s Piedmont Triad region, allowing for future expansion, according to Siemens Mobility. When it begins operation in 2024, the facility, the company adds, will incorporate some of the latest technologies found in its Sacramento facility, including robotic welding, 3D printing and Virtual Reality welder training. Additionally, facility will be carbon neutral, “playing an important role in our sustainability commitments,” Siemens Mobility said.

Lexington, located in the state’s Davidson County is home to nearly 20,000. The Piedmont Triad is a commerce hub “with access to transportation and a strong workforce in central North Carolina.” Siemens Mobility will be receiving a 12-year Job Development Investment Grant from the state; the facility is estimated to grow the state’s economy by $1.6 billion.

“North Carolina is leading the way to a clean energy future, and transformative investments by the Biden Administration in clean energy infrastructure are helping us get there,” said Governor Roy Cooper. “Our manufacturing workforce and strong infrastructure will help Siemens Mobility succeed in Lexington.”

“Our new East Coast hometown will soon be a powerhouse when it comes to rail manufacturing,” added Cahill. “Complementing our operations in Sacramento, our bi-coastal facilities will work together to manufacture the latest rail technology and transform the everyday for communities across the country.”

Siemens Mobility has eight U.S. manufacturing facilities employing 4,000 in Alpharetta, Ga.; Louisville and Marion, Ky.; Pittsburgh, Pa.; New Castle, Del.; Tualatin, Ore.; Sacramento, at two locations. The company sources components from more than 2,000 domestic suppliers in 40 states. Lexington will be the company’s ninth manufacturing site. Its sister site will be the 60-acre, up-to-80% solar-powered, 2,500-employee rolling stock facility in Sacramento, which has been manufacturing vehicles for more than 30 years and has delivered more than 3,000 locomotives, passenger coaches and LRVs under Buy America requirements.

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