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€250 Million Siemens Train Factory Officially Opened In Munich-Allach

factory
Jul 10, 2025
Article Source LogoConstruction Review
Construction Review

Siemens has marked a significant milestone by opening its newly expanded train factory in Munich-Allach, a move set to redefine rail manufacturing in Europe. Since 2023, the company has invested approximately 250 million euros into constructing modern buildings, state-of-the-art production facilities, and scaling up AI-based solutions. This investment underscores Siemens Mobility’s commitment to strengthening its European service network and maintaining its competitive edge in the global rail market. Notably, the expansion will generate over 500 new jobs, bringing the workforce to about 2,500 employees. As a result, the factory now stands among the most advanced train production sites on the continent.

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Moreover, this growth doubles the facility’s workspace from 47,000 to more than 100,000 square meters. For the first time, all products based on the Vectron locomotive platform, including the new Vectouro passenger cars, will be manufactured under one roof. This integration aims to boost efficiency and foster innovation across the production line. In addition, the site will triple its capacity for modern services and become the new headquarters for Siemens Mobility, consolidating research, development, production, and management. According to Roland Busch, CEO of Siemens AG, the factory embodies the future of networked mobility, blending automation, digitalization, and artificial intelligence.

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Equipped with cutting-edge technologies such as laser-guided installation, robotics, AI-enabled quality management, digital twins, and AI-driven software development, the expanded facility can now produce up to 385 Vectron locomotives and 180 passenger cars annually. Meanwhile, the Rail Service Centre will significantly ramp up its operations, increasing locomotive overhauls and accident repairs from 25 to 80 per year. Four additional service tracks, along with specialized workshops for bogies and wheelsets, will support this growth. Furthermore, around 70 data and software experts will join the Munich-Allach team to provide modular services and deploy the Railigent X application suite, enhancing support for international clients.

Interestingly, the Munich-Allach site carries a rich legacy that dates back over a century. Originally established in 1841, the facility was once a modest locomotive workshop. Over time, it has evolved into a global hub for rail technology, mirroring the transformation of the rail industry itself. Today, with Siemens’ continued investment, the factory symbolizes a perfect blend of heritage and innovation. By merging “heavy metal” manufacturing with “heavy AI,” Siemens is not only securing its position in the market but also shaping the future of sustainable rail transport across Europe and beyond.

Total Investment: €250 million invested since 2023 in new buildings, high-tech production facilities, and AI-based software solutions

Facility Size Doubled: Factory footprint expanded from 47,000 m² to over 100,000 m², nearly doubling usable space

Production Integration: For the first time, Siemens will manufacture both Vectron locomotives and Vectouro passenger cars on a single site

Enhanced Manufacturing Capacity: Annual production capacity increased to 385 Vectron locomotives and 180 passenger cars

Cutting‑Edge Tech: Adoption of advanced technologies including laser-guided installation, robotics, AI-enabled quality control, digital twins, and AI software development

AI‑Powered Maintenance: Service center capacity to triple, from 25 to 80 locomotive overhauls/repairs per year, supported by modular services and Railigent X solutions

Infrastructure Upgrades: Addition of four new service tracks and specialized workshops for wheelsets and bogies, strengthening heavy-maintenance operations

Software & Data Talent: Approximately 70 data and software specialists will join on‑site to support digital service delivery, including Railigent X

Job Creation: More than 500 new jobs created, bringing the total workforce to around 2,500 employees by 2028

Global HQ Consolidation: The site now houses Siemens Mobility’s global headquarters, bringing R&D, production, service, and management under one roof

Legacy and Innovation: Located on a historic site dating back to Krauss-Maffei’s locomotive production; now transformed into a modern, high-tech rail competence center

Future‑Ready Strategy: With this “heavy‑metal to heavy‑AI” shift, Siemens strengthens Germany’s position as a hub for competitive, digitized, sustainable rail manufacturing

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