Spanish train manufacturer to receive £10,000 per job from Welsh GovernmentAll Articles
Spanish company Construcciones y Auxiliar de Ferrocarriles (CAF) is investing £30m in a new train and tram factory in Newport, which will create 300 new jobs.
The production centre is expected to open in Autumn 2018. The Welsh Government offered a £3m grant to secure the jobs.
More than 100 locations in the UK were considered for the plant, with the Celtic Business Park in Newport chosen from one of four potential sites that were short listed. CAF is a major international rolling stock manufacturer with plants in Brazil, Mexico and the US as well as Spain.
The Newport factory is being designed so that CAF can build a range of different trains, including diesel multiple units (DMUs), electric multiple units (EMUs), trams and high speed trains. It will enable the company to assemble, test and commission new vehicles and have capacity to undertake future manufacturing projects as well as maintenance and servicing activities.
First Minister Carwyn Jones said: “Today’s announcement is a major coup for Wales and a big vote of confidence in our manufacturing industry. We are, once again, competing and beating others on the world stage to secure significant investment to Wales.
Richard Garner, CAF’s UK Director, said: “CAF is an established supplier to the UK market, and we now have solid economic basis for further increasing our footprint in the UK.
CAF has had a presence in the UK rail market since the 1990s, supplying units for the Heathrow Express link from the airport to Paddington in that decade.
More recently it has supplied trains to Northern Ireland Railways and trams for the cities of Birmingham and Edinburgh. Last year it signed a contract to supply sleeper cars for the London and Glasgow-Edinburgh routes, as well as units for Arriva Rail North and the FirstGroup’s TransPennine Express franchise.
The site will allow for significant future expansion, providing potential for further investment and employment in the Newport area.
Economy Secretary Ken Skates said: “This significant investment from CAF and Welsh Government will underpin the development of the rail sector in Wales and places us at the heart of an industry with massive growth potential.''
All Articles Arrange a Demo of Incentives Monitor