The South Korean company is vacating its 91,000m2 factory on Weccacoe Avenue in South Philadelphia where it has been for 10 years.
Hyundai Rotem assembled 120 Silverliner V commuter EMU cars for Southeastern Pennsylvania Transportation Authority (Septa) from 2009 onwards, and performed vehicle refurbishment work for the agency until 2016. The Silverliners were plagued by faulty welds requiring repairs, leading to operations problems for Septa.
The facility employed as many as 300 staff, and will close for good at the end of August.
In May 2017, CRRC Corporation won out over Hyundai for a $US 137.5m Septa contract supply 45 double-deck coaches for services on the Northeast Corridor.
The Philadelphia Business Journal reported that Hyundai Rotem declined to renew its expiring factory lease with owner Rimas Properties.
The closure announcement comes less than a month after Nippon Sharyo confirmed production will cease at its rolling stock plant in Rochelle, Illinois, at the end of August.