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Siemens Mobility, Whose Main North American Factory Is In Sacramento, To Build Plant In North Carolina
Department of Defense (DoD) Awards
North Carolina, and the city of Lexington come to another $16 million, according to sister Business Journal publications in Charlotte and the Triad area of North Carolina.
By Mark Anderson
A Sacramento Regional Transit District light rail car is being completed at the Siemens Mobility train factory in Sacramento.
Nammo Defense Systems Inc., Mesa, Arizona, was awarded a $498,092,926 firm-fixed-price contract for the full rate production of M72 Light Assault Weapon variants and components for shoulderlaunched munitions training systems. Bids were solicited via the internet with one received. Work locations and funding will be determined with each order, with an estimated completion date of Dec. 19, 2026. U.S. Army Contracting Command, Newark, New Jersey, is the contracting activity.
Siemens Mobility announced it will build an East Coast rail car manufacturing center in Lexington, North Carolina, investing $220 million in the region between Charlotte and the Triad area.
Siemens’ Sacramento train factory has delivered more than 3,000 locomotives, passenger coaches and light rail vehicles.
The company has been building light rail and trains in Sacramento since 1984, and it has been at French Road since 1992.The Sacramento factory has been busy in recent years with a series of record orders for new vehicles.
Siemens Mobility is calling the new North Carolina factory a sister plant to its 31-year-old Sacramento train and light rail factory at French Road.
“This is a pure growth story. We’ve invested $150 million in our Sacramento facility over the past 15 years and will continue to invest,” said Kara Evanko, Siemens spokeswoman, via email.
“While now was the right moment in time to find additional space on the East Coast, where we can also grow in close proximity to our East Coast customers, Sacramento will continue to be our North American Rolling Stock headquarters and our light rail service center hub,” she said.
Raytheon Co., Tucson, Arizona, is awarded a $55,121,826 costplus-fixed-fee modification to a previously awarded contract (N0002421C5434) for engineering and technical services in support of the Evolved Seasparrow Missile and NATO Seasparrow Missile Sys-tems programs. This contract combines purchases for the U.S. govern-ment (99%); and the governments of Japan and United Arab Emirates (1%) under the Foreign Military Sales (FMS) program. Work will be performed in Tucson, Arizona (82%); Portsmouth, Rhode Island (17%); Andover, Massachusetts (less than 1%); San Jose, California (less than 1%); Aranjuez, Spain (less than 1%); Brisbane, Australia (less than 1%); and Koropi Attica, Greece (less than 1%). Work is expected to be com-pleted by December 2022. The Naval Sea Systems Command, Wash-ington, D.C., is the contracting activity.
Siemens said it will invest more than $220 million to create more than 500 jobs in North Carolina. The effort there will receive a North Carolina Economic Investment Committee incentives package totaling about $16.8 million. Additionally, incentives from Davidson County,
Stability Timing (CREST) — a ruggedized atomic clock module with a unique combina-tion of performance and size, weight and power, capable of the abso-lute accuracy of a commercial cesium beam clock in a VPX-card-like form-factor. The CREST module will be designed to provide uninter-rupted Global Positioning System (GPS)-quality timing holdover in challenging military environments. Work will be performed in Phoenix, Arizona, with an expected completion date of Dec. 21, 2026. This contract was competitively procured under long range broad agency announcement (BAA) N00014-21-S-B001. The Office of Naval Research, Arlington, Virginia, is the contracting activity).
The French Road plant is the region’s second-largest manufacturer with about 2,500 employees, according to the Sacramento Business Journal’s most recent list. The Sacramento plant builds equipment for Amtrak and private and public rail companies all over the U.S. and Canada. The Sacramento factory is now building new low-floor light rail cars for the Sacramento Regional Transit District.
It’s common for reasons of supply chain and customer service for companies to want to have West Coast and East Coast operations, said Michelle Willard, chief public affairs officer with the Greater Sacramento Economic Council, which recruits companies to develop jobs in Sacramento.
The French Road factory had 600,000 square feet of buildings in early 2019. It passed 1 million square feet at the end of last year. The factory has a testing track on site.
Honeywell International Inc., Phoenix, Arizona, is awarded a $22,467,124 cost-plus-fixed-fee contract for the development, build and demonstration of the Compact Rubidium Extended
The Boeing Co., Mesa, Arizona, was awarded a $239,590,243 cost-plus-fixed-fee contract for the Apache Improved Turbine Engine Inte-gration Phase II. Bids were solicited via the internet with one received. Work will be performed in Mesa, Arizona, with an estimated comple-tion date of Dec. 31, 2026. Fiscal 2021 and 2022 research, develop-ment, test and evaluation, Army funds in the amount of $18,000,000 were obligated at the time of the award. U.S. Army Contracting Com-mand, Redstone Arsenal, Alabama, is the contracting activity.