May 8, 2013
Nippon Sharyo U.S.A. Inc. has announced the expansion of its U.S. production facility in Rochelle, Ill., which started operation in June 2012. The expansion involves construction of a new building for metal fabrication and machining.
The expansion is in response to a contract for bilevel passenger railcars (130 railcars with an option to purchase another 300), awarded in November 2012 by California Department of Transportation (Caltrans) and Illinois Department of Transportation (IDOT). The contract is funded by the Federal Railroad Administration (FRA), which requires so-called "100% Buy America" under 49 U.S.C. §24405(a).
The new facility will manufacture major parts and components for the car body using U.S.-made raw material.