Local railcar manufacturing in Western Australia has advanced with the rollout of the first iron ore railcar wagon built by Perth-based company Gemco Rail for Rio Tinto Iron Ore (RTIO).
In a news release, the WA Government said Perth-based company Gemco Rail is behind the delivery, with a contract to supply 100 iron ore wagons to RTIO over the next six years.
The initial batch includes 40 wagons, followed by an additional 10 per year. Alongside new builds, Gemco will also repair and refurbish key wagon components as part of its ongoing work.
The Western Australian Government has contributed $6.9 million to support Gemco’s expansion through its Local Manufacturing Investment Fund (LMIF).
The funding is enabling upgrades at Gemco’s Forrestfield facility and the establishment of a new site in Karratha, which together are expected to create 17 jobs focused on manufacturing and maintenance.
An additional $340,929 from the LMIF has been allocated to help modernise the company’s plant and equipment in Forrestfield.
This upgrade is set to support Gemco’s delivery of 40 wagons to BHP, helping the business maintain its position in the local manufacturing sector.
The LMIF, a commitment from the WA Government during the 2021 State Election, has so far awarded more than $13.5 million to projects across both metropolitan and regional areas.
According to the WA Government, the fund continues to create a steady pipeline of work for local fabricators involved in railcar wagon manufacturing and maintenance.
Under its broader Made in WA strategy, the State Government says it is aiming to grow local railcar manufacturing through partnerships with industries such as the grain sector to explore further opportunities.
WA Premier Roger Cook said the rollout signals growing confidence in Western Australia’s manufacturing sector.
“Diversifying our economy and making more things here are key to our plan to maintain Western Australia as the strongest economy in the nation,” the Premier said. “This is a clear sign businesses want to make more things here in WA.”
Cook also highlighted the government’s broader ambition to create new jobs and industries by expanding local manufacturing. “Soon, we’ll create jobs across WA by building even more things here, like batteries and powerlines,” he said.
Manufacturing Minister Amber-Jade Sanderson echoed the sentiment, stating that the government’s collaboration with companies like Gemco is central to its vision.
“This means we are directly supporting jobs, particularly in Forrestfield, where we have been building our state-of-the-art METRONET C-Series trains,” she said.
Sanderson congratulated Gemco on its milestone, calling it proof that WA’s resources sector is already aligning with the government’s long-term manufacturing goals.
