Why Manufacturers Need Transit and Passenger Rail Upgrades


Manufacturers are urging Congress to invest in public transit and passenger rail to strengthen workforce mobility, improve transportation network reliability and support long-term economic competitiveness. This week, the NAM released a policy brief outlining the importance of maintaining and modernizing these systems for manufacturers, workers and communities across the country.

The problem: The Federal Transit Administration estimates a $140.2 billion backlog in maintaining and upgrading transit systems, the NAM noted. This is a major drag on workforce mobility and makes the rail system less usable for freight customers (like manufacturers) as well.

Why it matters: The NAM included useful stats showing the importance of passenger rail to the U.S. economy:

  • In 2024, public transportation systems employed approximately 411,000 workers.
  • Public transit relies on more than 3,000 suppliers in all 50 states.
  • Built in America, Amtrak’s next-generation fleet of railcars supports more than 15,000 U.S. jobs through assembly plants and a supplier network across more than 30 states. 

The fixes: The NAM also recommended policy fixes to improve public transit systems, emphasizing the need for greater investment and the removal of red tape. Its recommendations include:

  • Providing sustained federal investment in public transit systems to improve safety and reliability and ensure a state of good repair;
  • Streamlining permitting and project delivery for transit capital projects to reduce delays and bring safety improvements online more quickly;
  • Expanding support for training and workforce development programs that prepare the transit workforce to safely operate, maintain and modernize transit systems; and
  • Strengthening coordination between organizations overseeing public transit, passenger rail and local infrastructure to reduce congestion, improve safety and support economic activity.

The NAM says: “When public transit works well, it helps reduce congestion, improves safety and keeps the broader transportation network moving efficiently for both people and freight. Manufacturers across the country help make that possible by producing the infrastructure, equipment and technologies that transit systems rely on every day,” said NAM Director of Transportation and Infrastructure Policy Kirbie Ferrell.

Dive deeper: To catch up on the NAM’s full policy blueprint and campaign for infrastructure modernization and permitting reform, “Building to Win,” go here.