Bombardier has won a $600m contract from New York's Metropolitan Transportation Authority (MTA) to build 300 new subway cars.
The company won the contract after fending off competition from a consortium comprising France's Alstom Transportation and Japan's Kawasaki Heavy Industries.
The cars will be built at Bombardier's Plattsburgh facility in New York and are being added as part of MTA's five-year capital investment programme started in 2010, which will add 340 subway cars at a cost of $748m.
MTA chairman and CEO Joseph Lhota said, "With this order, we are benefitting New York City Transit subway customers with an infusion of new equipment for the fleet, as well as fuelling economic growth in New York State, helping to retain current jobs, creating new ones and strengthening component manufacturers and their suppliers."
Scheduled for testing in late 2014, the new R-179 cars are scheduled for delivery in 2016 and will replace the oldest subway cars now in use by the MTA.
Designed for energy efficiency, the R179 subway cars will replace C Line cars that first entered service in 1964.
The new rail cars will be financed by already-secured $306m funds from US government and future federal grants.
R179 cars will have brighter interiors, climate-control systems, digitised voice announcements and route signage, airbag suspension and energy-saving regenerative braking.
MTA believes the introduction of R179 cars will reduce maintenance costs by 40% compared to earlier cars.
Bombardier first supplied equipment to the MTA and its subsidiaries in a 1981 contract, while in 1994 it signed an agreement to establish a new Plattsburgh rail car assembly plant for Metro-North and prospective MTA projects.
Since 1994, Bombardier has twice expanded its Plattsburgh plant, moved its out-of-state operations to Plattsburgh and built 3,000 rail cars and locomotives for New York City and other transit systems.