A Swiss train builder plans to expand its Salt Lake City plant to fuel a future of cleaner transportation options.
The plant, near 5600 West and Interstate 80, is Stadler’s only manufacturing facility in North America. It’s tasked with filling future railcar orders for a handful of transit agencies around the country, including the Utah Transit Authority’s TRAX light rail system.
The company’s expansion will add two assembly halls, facilities for welding and sandblasting, and a train battery charging station. Officials say the additions will help the firm build and sell more zero-emissions units.
The Stadler plant has built electric and hydrogen-powered trains for transit agencies in California and plans to build hybrid versions for Dallas’ DART system. Back in October, the company also won a $129 million contract to build up to 80 new Blue Line vehicles for TRAX. Stadler has already produced 800 units of the so-called CityLink vehicles for European agencies, but UTA’s order was the first by an American government.
The company, which previously inked a Salt Lake City local tax incentive deal worth up to $9.6 million when it was building the facility in 2018, will get more public help in expanding the plant. This time, the Utah Inland Port Authority will give Stadler 10% of the company’s property tax back annually for up to 25 years once the addition is complete. Last year, Stadler’s tax bill totaled about $583,000 without the planned expansion.
“We are proud to expand our U.S. manufacturing footprint right here in Salt Lake City,” Martin Ritter, CEO of Stadler North America Division, said in a news release. “This incentive will allow us to accelerate innovation, enhance our workforce, and strengthen our partnerships with the Inland Port and transit agencies nationwide.”
The deal comes as Stadler juggles orders for TRAX, Northern California’s Caltrain commuter rail system and Atlanta’s MARTA agency through 2031. The company plans to invest $70 million in the expansion and add 300 more workers to the 500 people it already employs at the plant.
Port leaders have been advertising the northwestern corner of Salt Lake City as a potential manufacturing hub, hoping to lure more companies like Stadler to the area.
“This investment solidifies Utah as a premier hub for cutting-edge passenger rail manufacturing,” said Ben Hart, the port’s executive director. “Stadler’s expansion will bring high-quality jobs, strengthen local supply chains and drive innovation in zero-emission passenger rail technology — exactly the kind of growth we aim to support.”