The NSW Government has outlined a long-term manufacturing pipeline for the Hunter region, with its planned $12 billion Future Fleet Program expected to support about 550 ongoing jobs across a new state-owned train manufacturing facility and its supply chains.
The program is being progressed through an Expression of Interest (EOI) process that opened on 25 September, seeking manufacturing firms to design and build the next fleet of NSW suburban passenger trains.
According to the NSW Government, the program is intended to establish a 30-year pipeline of domestic train manufacturing in the Hunter, with the first locally built suburban trains expected to enter service in the early 2030s.
The fleet will progressively replace the Tangara trains in the 2030s, followed by the Millennium and OSCAR fleets in the 2040s and the Waratah fleet in the 2050s.
The Future Fleet Program is expected to support up to 780 workers during construction of the manufacturing facility, in addition to approximately 550 ongoing positions once the facility and associated supply chains are operating.
NSW Minister for Domestic Manufacturing and Government Procurement Courtney Houssos said the program would contribute to rebuilding the state’s domestic manufacturing capability.
“This is an important step in rebuilding our sovereign manufacturing capability,” Houssos said.
“The capability will support local jobs and businesses, and deliver long-term economic benefits for NSW.”
The government is also using the program to develop manufacturing workforce capacity ahead of the new facility. Work on the Tangara Life Extension Program is already underway at the Cardiff rail facility and in Sydney, employing 100 newly qualified workers and 20 apprentices, according to the NSW Government.
Transport for NSW has also engaged with the rail industry through events in Sydney and Newcastle to help businesses prepare for opportunities associated with the planned manufacturing program.
The government is assessing potential sites for the state-owned production facility, including a former coal mine at Teralba and the Broadmeadow Locomotive Depot. A final location decision is expected before the end of 2026.
Manufacturers participating in the program, whether Australian or international, will be required to support local manufacturing and jobs under the NSW Government’s 50 per cent local-content requirement for rolling stock contracts.
The trains themselves are planned to incorporate next-generation control systems, advanced communications, remote diagnostics and fleet monitoring, as well as upgraded accessibility, interiors and passenger information systems.
Sydney Trains Chief Executive Matt Longland said producing and maintaining the trains in NSW could provide the rail network with greater access to local expertise and parts support.
“Having these trains designed, built and maintained in New South Wales will deliver long-term benefits for passengers and the network,” Longland said.
“It means we can draw on local expertise, respond more quickly to issues and ensure maintenance and parts support are readily available throughout the life of the fleet.”
Transport Deputy Secretary Raquel Rubalcaba said the EOI marked a step towards establishing a sustainable rail manufacturing industry in NSW.
“We are creating a decades-long pipeline of work that will support skilled jobs, strengthen local supply chains and provide certainty for industry to invest in capability and growth,” Rubalcaba said.
The EOI is open until 10 November 2026, with manufacturers able to submit responses through the NSW Government’s procurement platform.
