Hunter region set to gain $12b train manufacturing hub

Sat 4 Jul 2026 at 8:38am

Sat 4 Jul 2026 at 8:38am

In short:

The NSW premier has shortlisted two sites in the Hunter region for a factory to build a new fleet of trains, pledging $12 billion to the plan.

The announcement, part of the government's pledge to revive manufacturing, is expected to be made at the NSW Labor state conference.

What's next?

The $12 billion would be spent over 15 years.

The premier is expected to pledge $12 billion to revive train manufacturing in New South Wales, earmarking two sites near Newcastle for a new factory.

Chris Minns is set to make the announcement in a speech at the NSW Labor Conference at Sydney's Town Hall this morning.

He is slated to commit to establishing the manufacturing site at either Teralba or Broadmeadow, both in the state's Hunter region.

"For generations, highly skilled Australian workers made our Tangaras, our red rattlers, our V Set, our S Set," Mr Minns is anticipated to say in a speech to the party's rank-and-file.

"All until 2012, when the last train rolled off the line at Broadmeadow, after being outsourced to China, Spain and South Korea."

The government had previously committed to start procuring the replacement of the aging Tangara fleet by early 2027, with a "50 per cent local content target".

The $12 billion would be spent over 15 years, but it was unclear where the funding would come from.

No money has been put aside for the project in this year's budget.

The government estimates the plan will create 780 jobs in the manufacturing stage, and 550 ongoing roles after that.