Government pledge to boost rail manufacturing

The Federal Government has outlined a fresh vision for a renaissance of rail manufacturing in Australia.

Assistant Minister for Manufacturing, Tim Ayres, said he would be overseeing the implementation of the National Rail Manufacturing Plan.

“At the 2022 Federal Election, we made a commitment to build a future made in Australia and it’s a privilege to now be in Government to deliver on this,” he said.

“Ultimately, the plan is designed to support skilled manufacturing jobs and support more trains being built here in Australia.

“In taking our rail vision forward we must lift our sights and expectations. It’s more than just creating rolling stock here in Australia. It’s about creating national pride and purpose, in the public interest.”

The 2022-23 October Budget included $14.2 million to establish the National Rail Manufacturing Plan and create several bodies to support local jobs and rail manufacturing capability, helping to drive a national approach to facilitate local manufacturing and procurement – more jobs, high-quality trains, more scale and efficiency.

“We need to drive Australia up the value chain and broaden our export complexity as is key to generating good jobs across communities in the suburbs and the regions.

“At the same time, we know that Australians take pride in locally made products that are of high quality.

“Manufacturing more of our own trains and rolling stock components builds national pride as well as Australian capability.

“The Federal Government wants Australia to be a smart nation that makes high-value products for Australia, our region and the world.

“Although the focus will initially be on passenger train manufacturing, I want to identify flow-on benefits for freight rolling stock manufacturing.

“Key elements of the plan include establishing an Office of National Rail Industry Coordination (ONRIC) within the Department of Industry, Science and Resources.

“ONRIC will lead a coordinated national approach to support and grow the Australian rail manufacturing sector.”

The Government is also establishing a Rail Industry Innovation Council to bring together industry leaders, researchers and experts to help transform the sector.

In collaboration with other stakeholders, it will support capability building by identifying opportunities for Australian innovation, will appoint a Rail Supplier Advocate to develop high impact strategy to deliver on the Government’s objective to support local manufacturing of safe, fast and sustainable rail rolling stock,” Ayres said.

“The Advocate will work with me and the ONRIC, providing advice to the Government on the Australian rail industry and the most effective strategies to back Australian manufacturing.

“They will also assess the rail procurement and local content targets for rolling stock and other drivers to support a competitive rail manufacturing industry in Australia.

“They will advocate on behalf of the rail industry to State and Territory Governments, ensuring local suppliers are considered for critical transport projects.

“I need the successful candidate to have deep sectoral knowledge of rail manufacturing and the desire to drive genuine change.

“Applications will open in the coming days. I want the very best person for this role.

“One of the challenges facing the rail industry is that currently we have no consistent national standards for passenger rolling stock.

“This makes it harder to achieve consistency for products and components such as windows, axles, wheels, and emergency equipment which are different across the country.

“It makes it harder to deliver scale, efficiencies and quality. It makes it harder still to target global supply chains.

“Standard harmonisation should be a key objective and priority.”

Ayres said the Government deliver a National Rail Procurement and Manufacturing Strategy to identify opportunities to make more rolling stock here and push firms up global supply chains.

The strategy will focus on:

Delivering the local build of more topquality trains

Building scale and industrial capability

Driving innovation, efficiency and competitiveness of Australian rail manufacturing to supply components to global markets.

“We will be working closely with State and Territory governments, unions, and industry to effectively deliver the National Rail Manufacturing Plan,” he said.

“We will create long-term capability that will last beyond the election cycle and build national pride and purpose.

“This is more than building rail in Australia. It’s building a future that should be a source of pride for all Australians.”

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