USA, Canada: Early 2026 has seen sharp revival in the regional traction fleet market. Leading freight operators Union Pacific, CSX, Norfolk Southern and CPKC have announced major contracts with Wabtec and Progress Rail for new builds and modernisation of existing locomotives.
Largest locomotive modernisation in US rail history
Union Pacific has inked a $1.2 bln deal with Wabtec to refurbish 1,000 GE AC4400 mainline diesel locos (GE Transportation, acquired by Wabtec in 2019). Both sides hail it as the largest locomotive modernisation programme in US rail history.
The work includes FDL Advantage engines for fuel savings, Locotrol distributed power, and modular digital control architecture. These upgrades promise more than 5% lower fuel consumption alongside a roughly 14% boost in tractive effort.
Refurbishment will take place at Wabtec’s US production facilities, with deliveries of upgraded locos starting in 2027. Given Union Pacific’s fleet tops 7,000 locomotives, the programme will refresh a substantial share of mainline power on transcontinental routes.
This contract extends a string of joint projects: it is Union Pacific’s fourth major modernisation programme with Wabtec since 2018, while the previous 2022 order wraps up by end-2026. Post-completion, over 1,700 modernised locos will be in the operator service.
New locos and D9 conversions
CSX has signed a $670 mln Wabtec contract for 100 Evolution family mainline diesels, refurbishment of 50 existing units, plus digital solutions and services. New locos target heavy-haul on CSX’s Eastern US network, with Trip Optimizer cruise control and Smart HPT for fuel and tractive efficiency.
ET44AH Evolution locomotives in the CSX’ fleet. Source: CSX
Refurbishment will convert Dash 9 series (GE Transportation) from DC to AC traction, plus control and diagnostics upgrades. New units arrive in 2026, rebuilt from 2027.
String of orders on a top market
Earlier in 2026, Wabtec and Progress Rail landed orders for 175 new mainline diesels in North America. Progress Rail will supply Canadian Pacific Kansas City with 65 SD70ACe-T4 locos, first 30 units due H2 2026. Wabtec delivers 70 ET44A units to the Canadian operator this year under a 2024 framework option, with first 100 done in 2025.
SD70M-2 locomotives at Norfolk Southern’s Altoona depot. Source: AltoonaWorks
Norfolk Southern, another major US operator, ordered 40 Wabtec ES44AC locos—its first new buys since 2022—plus Progress Rail refurbishment of 96 SD70M-2 units.
Norfolk Southern’s collaboration programme with Progress Rail will convert its existing DC traction motor loco fleet to Progress Rail’s AC power platforms, equipped with Individual Axle Control (IAC) systems. Company data indicates three upgraded SD70ICC diesel locos can haul the same tonnage as four legacy SD70M-2 units.
Each SD70ICC gets an upgraded 16-cylinder 3.1 MWt EMD 710 engine with refined controls for better adhesion, especially in tough conditions, and less unplanned traction maintenance. Deliveries run 2027–2029.
Suppliers: Wabtec and Progress Rail dominate
North America boasts one of the world’s largest loco fleets. Class I operators BNSF Railway, CSX, Norfolk Southern и Union Pacific run tens of thousands of mainline and shunter types. Railway Age pegged the regional total at 37,700 locos end-2024.
Post-GE Transportation integration, Wabtec has emerged as the dominant force in North American mainline traction. The company operates in more than 50 countries worldwide and employs around 27,000 people. Core competencies span locomotive and rolling stock component production, electronic control systems, digital platforms, and MRO services including maintenance, modernisation, and repair. In recent years, Wabtec has faced challenges at its primary locomotive manufacturing plant in Erie.
Progress Rail, a Caterpillar subsidiary based in Alabama, ranks among the top players in rolling stock and rail infrastructure solutions. Operating since 1983, the company maintains nearly 200 manufacturing and service sites across more than 16 countries with some 8,000 employees. Its lineup features various EMD-branded freight and passenger locomotives. In 2023, Progress Rail accused Wabtec of anti-competitive practices, but recently withdrew the lawsuit and reached a settlement.
