Ottawa spending $4.7B on new made-in-Canada Via Rail passenger cars

Prime Minister Mark Carney speaks with members of the media as he arrives at the Office of the Prime Minister and Privy Council in Ottawa, on Tuesday, Sept. 1, 2026. THE CANADIAN PRESS/Justin Tang

THUNDER BAY -- Prime Minister Mark Carney says his government is spending $4.7 billion to build 313 new passenger cars for Via Rail.

Carney is making the announcement today at the Alstom plant in Thunder Bay, Ont., where the cars will be built.

Carney says these will be the first Via Rail passenger cars to be built in Canada in 40 years.

Transport Minister Steven McKinnon says it is the largest single investment in Via Rail’s history and the project will lead to 700 new jobs.

The government announced in July nearly $2 billion for new locomotives for Via Rail.

Those new trains are expected to come in 2031.

This report by The Canadian Press was first published Sept. 3, 2026.

-- With files from Nick Murray in Ottawa.