Nippon Sharyo USA Begins Construction of Illinois Railcar Manufacturing Plant

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Researched by Industrial Info Resources (Sugar Land, Texas)--Nippon Sharyo USA Incorporated (Arlington Heights, Illinois), a subsidiary of Nippon Sharyo Limited (Nagoya, Japan), has begun construction on a $35 million grassroot railcar manufacturing plant in Rochelle, Illinois. This will be the first manufacturing plant in the U.S. for the company.

Groundbreaking for the plant occurred in the fall of 2010. Construction on a 465,556-square-foot building started in April of this year, and overall completion is slated for late summer 2012. The company expects to create 300 jobs by 2013. The plant will deliver 160 double-decker electric commuter railcars for Metra, in a contract worth $560 million.

Kajima Building & Design Group Incorporated (Atlanta, Georgia) was selected to provide general construction services, while Nelson Carlson Mechanical (Rockford, Illinois) and Williams Charles Limited (Rockford) were selected to provide mechanical and electrical services.

In 2010, Nippon Sharyo USA Incorporated first announced plans to expand operations into the U.S. by establishing its own passenger railcar production facility in Rochelle. The company made these plans to increase competitiveness in the expanding passenger railcar market in the U.S. and as a response to an increased desire for localized railcar assembly. The Rochelle site was chosen due to its close proximity to two mainline railroads in the "Chicago Hub" railroad network and the friendly community environment. An incentive and support plans from the city of Rochelle and the state of Illinois, including more than $10 million of direct investment for the new facility, also made it an ideal location.

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