Local railcar manufacturing has hit a milestone with the rollout of the first iron ore railcar wagon built by Perth-based company Gemco for Rio Tinto Iron Ore (RTIO).
Gemco is set to deliver 100 wagons over the next six years to RTIO, with an initial release of 40 and another 10 per year for six years. This work will also include repairing and refurbishing key wagon components.
The State Government has contributed $6.9 million to Gemco under the Local Manufacturing Investment Fund (LMIF) to upgrade its Forrestfield facility and establish a new facility in Karratha.
“Diversifying our economy and making more things here are key to our plan to maintain Western Australia as the strongest economy in the nation,” said premier Roger Cook.
“That’s why we are so pleased to see Gemco rolling out its first iron ore railcar wagon.
“It builds on our government’s proud record of bringing railcar manufacturing back as part of METRONET.”
These two projects will provide 17 new jobs to manufacture and maintain railcars.
The State Government has also provided a further $340,929 in LMIF funding to Gemco so it can modernise its railcar wagon manufacturing and maintenance plant and equipment at its Forrestfield premises.
This upgrade will help the company deliver 40 iron ore railcar wagons to BHP and allow Gemco to maintain its position as a local manufacturer into the future.
The LMIF – which was a commitment made by the State Government ahead of the 2021 State Election – has awarded more than $13.5 million to metropolitan and regionally based projects.
It continues to secure an ongoing stream of work for local fabricators in the manufacturing and maintenance of iron ore railcar wagons.
Through its Made in WA plan, the State Government has committed to expanding local iron ore railcar manufacturing, including through collaborating with other industries like the grain sector to investigate further opportunities.
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