Thunder Bay the Winner as TTC subway chooses single-source contract, supporting local manufacturing jobs
August 15, 2025
MPP Kevin Holland champions $2.3 billion investment in Thunder Bay Alstom plant
Thunder Bay — The Government of Canada, Ontario and the city of Toronto have given the TTC the go-ahead to pursue a single-source contract for new Line 2 subway trains with Alstom Transport Canada Inc. In the face of U.S. tariffs and economic uncertainty, this decision will provide $2.3 billion in funding to Alstom to support good manufacturing jobs in Thunder Bay and ensure reliable trains for Toronto transit riders.
“I would like to thank the many local people who supported and worked alongside me to protect Ontario jobs and manufacturing strength by championing the compelling case for sole sourcing the TTC’s Line 2 cars right here in Thunder Bay – ensuring these highly-quality manufacturing jobs stay in our community for years to come. When the Province, as a major funder, agreed to support sole sourcing, the City of Toronto came on side, and now the Federal Government has agreed and committed to the process.” said The Hon. Kevin Holland, MPP for Thunder Bay – Atikokan.
“I am very pleased that the TTC has now agreed with our advocacy to protect Ontario’s transit manufacturing and workers, anchoring hundreds of good-paying jobs in Thunder Bay, and has cancelled the RFP process today. This decision allows the TTC and Alstom to begin negotiating the $2.3 billion contract immediately, ensuring this important work can start at our local plant here in Thunder Bay. This announcement is a recognition of the quality work of the Thunder Bay plant, as well as our local and provincial suppliers. This announcement also highlights our government’s commitment to protect Ontario jobs during the uncertainty resulting from increased tariffs. This is fantastic news for Thunder Bay, and I thank Premier Ford and Minister Sarkaria for their leadership and support of this initiative.”
The current competitive process for the trains has been cancelled, and all bidders have been notified.
To ensure that Alstom delivers state-of-the-art trains at a fair market price, maximizes the creation of Canadian jobs, and benefits Toronto, Alstom must:
- deliver a product that is compliant with the TTC’s original requirements;
- maximize Canadian content and create Canadian jobs;
- have its pricing subject to an independent third-party market price assessment.
It is expected that negotiations will occur over the next few months with a report back to the TTC Board on the status of negotiations by the end of the year.
The base procurement is for 70 six-car train sets in total: 55 trains, jointly funded by the federal, provincial and city governments to replace aging trains on Line 2; and 15 trains for the Yonge North and Scarborough extensions. The contract would include options to procure additional trains to meet future needs when funding is committed and subject to Alstom’s performance.
The TTC is working diligently to ensure the aging Line 2 fleet operates safely and reliably until new trains arrive.
QUOTES
“To build the strongest economy in the G7, we need to ensure our investments are protecting jobs and championing industries right here in Canada. By partnering with Ontario, Toronto and the TTC, we are delivering reliable, affordable and sustainable public transit, and supporting good-paying jobs in Canada. We can all feel proud that these trains will be built for Canadians by Canadians.”
– Gregor Robertson, Minister of Housing and Infrastructure
“Our government is proud to protect Ontario from U.S tariffs by ensuring the TTC’s Line 2 subway trains will be made in Ontario, by Ontario workers. Working with our federal and municipal partners, we’ll continue to support Ontario workers and businesses while investing $70 billion in the largest subway expansion in Canadian history.”
– Prabmeet Sarkaria, Ontario’s Minister of Transportation
“Torontonians need fast and reliable transit. With our Line 2 subway cars coming to the end of their lifespan, we’re partnering with Provincial and Federal governments to buy new trains to keep TTC riders moving. Together, we’re building a better transit system and supporting Canadian workers and jobs in this challenging trade climate.”
– Mayor Olivia Chow
“The TTC Board thanks the Government of Canada and the Province of Ontario for their continued collaboration with the City of Toronto to improve transit in our city. This partnership will deliver modern trains to keep our city moving and improve the TTC’s reliability while creating good paying Canadian jobs and strengthen our nation’s supply chain.” – TTC Chair Jamaal Myers