The NSW Government has opened an Expression of Interest process for manufacturers to design and build the next generation of Sydney suburban passenger trains, marking the next stage of a $12 billion plan to rebuild train manufacturing in the Hunter.
The Future Fleet Program will establish a state-owned train manufacturing facility in the region and create a long-term procurement pipeline to replace Sydney’s ageing suburban train fleets over several decades.
The Government says the program is intended to provide around 30 years of manufacturing activity, support local supply chains and rebuild rail manufacturing capability in NSW.
Tangara Fleet to Be Replaced First
The first stage of the program will focus on replacing Sydney’s Tangara fleet, with procurement activities expected to begin by March 2027.
The first locally built replacement trains are expected to enter service in the early to mid-2030s.
Later stages are expected to replace the Millennium and OSCAR fleets during the 2040s, followed by the Waratah fleet in the 2050s.
The new trains are expected to include:
- Next-generation train control systems
- Advanced communications technology
- Remote diagnostics and fleet monitoring
- Improved accessibility
- Updated passenger interiors
- Real-time journey and connection information
Transport for NSW says the broader Future Fleet pipeline is expected to extend beyond 2050.
Minimum 50% Local Content Target
Manufacturers bidding for future rolling stock contracts will be required to meet the NSW Government’s 50 per cent local content target.
The requirement is intended to ensure Australian, NSW and New Zealand companies participate in the design, construction and ongoing maintenance of the fleet.
Federal industry data also confirms the Future Fleet Program is expected to apply 50 per cent Australia-New Zealand local content targets to both rolling stock and through-life support contracts.
Both Australian and international manufacturers will be able to participate in the procurement process, provided they meet the local manufacturing and employment requirements.
Up to 780 Construction Jobs
The Future Fleet Program is expected to support up to 780 workers during construction of the manufacturing facility.
Once operational, the facility and associated supply chains are expected to support around 550 ongoing jobs.
The Government is currently assessing potential locations for the new manufacturing facility, including:
- A former coal mine site at Teralba
- The Broadmeadow Locomotive Depot
A final site decision is expected before the end of 2026.
Existing Tangara Program Building Local Workforce
NSW has already begun expanding rail manufacturing and maintenance capacity through the Tangara Life Extension Program.
Work is underway at the Cardiff rail facility in the Hunter and in Sydney, supporting 100 new qualified workers and 20 apprentices.
The wider Tangara modernisation program includes a government investment of $447 million to extend the operating life of the existing fleet while replacement trains are designed and manufactured.
Transport for NSW has also been holding supplier and industry engagement events in Sydney and Newcastle to connect rolling stock manufacturers, component suppliers and service providers ahead of future procurement opportunities.
EOI Open Until 10 November
The current Expression of Interest process is open to manufacturing firms interested in participating in the design and construction of the new suburban fleet.
Applications close on 10 November 2026.
The EOI is the first major procurement step in a program expected to reshape Sydney’s suburban rail fleet over the coming three decades while establishing a new manufacturing base in the Hunter.
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