Siemens is Expanding US Production With New US$220m Facility

Siemens Mobility has completed construction of its US$220m train manufacturing facility in Lexington, North Carolina.

The site spans 200 acres and began production operations in April 2026.

The facility manufactures passenger coaches with 25 units currently in various production stages.

The completion coincides with manufacturers including Apple, Amazon and Hyundai relocating operations to the US amid tariff policies from President Donald Trump's administration.

Domestic manufacturing infrastructure

The Lexington site employs 375 workers. According to Siemens Mobility, the company committed to create 500 jobs at the location by 2028.

The State of North Carolina supported the project with a Job Development Investment Grant. According to North Carolina Governor Josh Stein, the facility could contribute US$1.6bn to the state economy over 12 years.

Tobias Bauer, Chief Executive Officer of Siemens Mobility North America, says: "Our US$220m investment in Lexington reflects our long-term commitment to American manufacturing and to the communities that help power our industry.

"By creating more than 500 skilled jobs and expanding our US production and service footprint, we are bringing advanced rail manufacturing closer to our East Coast customers while strengthening support for partners across the country."

Rail connection and distribution

The facility features a rail bridge connecting directly to the mainline. This configuration allows completed trains to ship to East Coast customers without road transport. The site will provide coach and locomotive overhaul services once fully operational. Siemens Mobility describes this as an end-to-end production and service capability on US soil.

The direct rail access could reduce logistics costs and delivery times for regional customers. The proximity to East Coast markets positions the facility as a localised supply point for rail operators.

According to Siemens Mobility, the site will serve partners across the country. The company operates other US manufacturing locations but describes Lexington as its newest production facility.

Production technology deployment

Siemens Mobility says the facility will use robotic welding, 3D printing and software tools. The site will also deploy artificial intelligence, real-time analytics and augmented reality technologies.

According to the company, these technologies will streamline operations and support decision-making in manufacturing processes. Siemens Mobility states this approach could set a benchmark for automated production.

The facility uses digital technologies to manage production workflows. The company has not disclosed specific vendors or systems deployed at the site.

Digital tools could reduce labour requirements and production cycle times.

Tariff environment and policy

Christian Bruch, Chief Executive Officer of Siemens Energy, tells The Financial Times the US was an "excellent market" due to AI demand benefiting gas turbine and power grid equipment makers. He also added that some of President Trump's policies had been "painful" for the company and customers. The comments accompanied a US$1bn investment announcement from Siemens Energy in the US.

Both Siemens Energy and Siemens Mobility originated from German parent company Siemens AG. Christian calls on the Trump administration to deliver more policy stability in the interview.

According to the US Federal Reserve, industrial production increased 0.2% in February 2026 following a 0.7% rise in January. The marginal increase reflects impacts from tariffs and the US and Israel's military action in Iran on manufacturers.