Tier 4 Locomotive Fleet Renewal in North America

Canadian Pacific Kansas City (CPKC) is continuing the renewal of its road locomotive fleet through additional purchases of Tier 4 locomotives, advancing a previously announced multi-year capital program focused on reliability, fuel efficiency, and emissions performance.

Fleet renewal program and investment scope
CPKC’s locomotive renewal is part of a broader, multi-year investment of more than USD 800 million in American manufacturing. The program focuses on replacing older units with Tier 4-compliant locomotives, which meet the most stringent U.S. Environmental Protection Agency (EPA) emissions standards for diesel-electric locomotives.

In 2025, CPKC completed the purchase of 100 Tier 4 locomotives manufactured by Wabtec in Texas. During 2026, the railway plans to further expand its Tier 4 fleet with additional units supplied by Progress Rail.

Locomotive deliveries and manufacturing locations
CPKC expects delivery of 70 additional Tier 4 locomotives from Wabtec during 2026. These units are being manufactured at Wabtec’s facility in Fort Worth, Texas.

In parallel, CPKC will purchase 30 Tier 4 locomotives from Progress Rail in 2026, to be built at the company’s manufacturing plant in Muncie, Indiana. These units are EMD SD70ACe-T4 freight locomotives and form part of a larger order for 65 Tier 4 locomotives placed with Progress Rail.

Together, these deliveries will further modernize CPKC’s road locomotive fleet across its North American network.

Technical and operational rationale
Tier 4 locomotives are designed to significantly reduce nitrogen oxides (NOx) and particulate matter emissions compared with earlier generations, while maintaining or improving tractive effort and fuel efficiency. For rail operators, these performance characteristics translate into lower emissions per gross ton-mile and improved operational reliability.

By standardizing on modern Tier 4 platforms from two major manufacturers, CPKC aims to support fleet growth while reducing maintenance complexity associated with aging equipment. Improved fuel efficiency and higher availability are key factors in sustaining network velocity and service consistency across long-haul freight corridors.

Alignment with capital planning
The locomotive purchases are part of CPKC’s previously announced capital plan, which prioritizes core assets such as locomotives, rolling stock, and infrastructure. Fleet renewal supports long-term capacity planning and aligns with broader economic activity across the North American rail network.

By sourcing locomotives from U.S.-based manufacturing facilities in Texas and Indiana, the program also contributes to domestic industrial activity while securing modern motive power for CPKC’s cross-border freight operations.

Application context
As freight railways face increasing pressure to improve environmental performance without compromising capacity, Tier 4 locomotive investments have become a central element of fleet strategy. CPKC’s ongoing renewal program illustrates how large-scale procurement, phased deliveries, and standardized technology platforms are being used to modernize locomotive fleets while supporting long-term operational and regulatory requirements.