Railway sector

In Quebec, the Department has identified 165 institutions whose activities are related to the manufacture of railway equipment. These companies employ about 14,000 workers, including more than 4,900 directly dependent on the railway sector. In 2009, sales associated with this sector amounted to nearly $ 1 billion. With proper planning, Quebec businesses could benefit from the economic recovery, which will increase in 2011, and increased demand planned for the coming years in the railway sector.

Railway products and services

The products and services offered by manufacturers can be grouped into four categories : infrastructure, rolling stock, control systems and signaling and maintenance services and management. In Quebec, the manufacture and refurbishment of rolling stock are an important segment of the rail industry. This material is divided into five types of vehicles, trains high and very high-speed locomotives, passenger coaches for intercity transportation, those for urban and wagons used for the delivery of goods transport.

The railway sector stakeholders

Manufacturers of railway equipment must deal with many actors, among which are their customers and suppliers. Customer manufacturers mainly consist of rail operators. These belong to the private sector as well as public or semi-public sectors. They include companies railways national, regional or local companies intercity transportation, public transport authorities and private operators. Providers are divided into three groups according to their proximity to the manufacturer and the type of activities they perform. They are grouped under the names "rank 1", «Row 2" or " 3 rows ". The Tier 1 suppliers deal directly with the manufacturer and are responsible for designing, manufacturing and ensure the functioning of the components they assemble. Tier 2 suppliers design and manufacture sub -assemblies used by Tier 1 suppliers. Finally, the 3 -tier suppliers provide supplies semi-processed raw materials such as plastic, sheet metal and electrical cables that go into the finished product. Given the relatively small size of the Canadian market, Quebec manufacturer’s railway equipment should target export markets for growth. The railway equipment for passenger transport industry is dominated by multinational companies, of which Bombardier Transportation, the largest manufacturer of such products in the world.

Rail Market access

Access to export markets is often subject to the requirements imposed by customers or countries carrying out the bidding . Sometimes the awarding of contracts takes place even without any tender. Buyer’s requirements focus on the proportion of the contract made ​​locally by the prime contractor and its suppliers. Thus, the United States, transit commissions that receive funding from the U.S. federal government must ensure that the final assembly of rolling stock does well in the United States and 60 % of the content is American. In the case of the European Union, member countries should reject proposals from countries with which the EU has no reciprocal agreement, unless they can guarantee a minimum of 50% the value of the product will be manufactured in the territory of the EU, without particular regard to the final assembly reference . And as regards Japan, the market is totally closed to foreign companies.

To learn more about the rail industry sector profile visit carried out by: filière ferroviaire consultez le profil sectoriel


Bus and coach sector

The performance of the transit sector based on the presence in Quebec of more than 150 companies involved in the manufacture of parts, components and transport equipment for buses and city bus systems.

The two main trends in the sector are to produce a share of transit vehicles use less energy and pollutants using a hybrid or electric power plant and lighter and offer the other hand, a vehicle material that meets the needs updated population, including those of disabled persons and the elderly.

A diverse industry and distributed in Quebec

  • 38% of companies from Chaudière-Appalaches
  • 21% work in the Laurentides
  • 13% are located in the Centre-du-Québec