Fear Victorian train jobs will go to China unless local content requirement increases

New trains for Melbourne could be made in China
WORKERS fear jobs will be sent to China unless Victoria increases a requirement for local content in a new $2 billion train-building contract.

Australian Workers’ Union state secretary Ben Davis warned Victoria was at risk of assembling a “glorified Lego set” under the Labor Government’s 50 per cent local build requirement for the project.

He said the government needed to increase its local build requirement for the project to 90 per cent, ensuring the 800 jobs stayed in Victoria.

“My view is the best way to maximise local content is to pick the bid that has the highest local content,” he said.

“If they are serious about it and serious about jobs, they have to make every effort to maximise local content.

“The 50 per cent local content means the shell could be imported from overseas and the fitout could happen here — essentially, a glorified Lego set,” Mr Davis said.

Three bidders are vying to build 65 high-capacity trains.

The Bombardier consortium, which has a Japanese backer, makes trains in Dandenong; the Evolution Rail consortium, which is backed by a China state-owned company, would do some work overseas; and Eureka Rail, which includes links to Japan, would do some of the work locally. A Bombardier spokeswoman was unable to common.

“We can confirm that all of our vehicles for Victoria are locally designed, engineered, manufactured and delivered from our manufacturing facility in Dandenong,” she said.

“It’s not in our DNA to just assemble trains.”

Opposition Leader Bill Shorten in the drivers seat of tram while visiting Bombardier rail transport manufacturers in Melbourne during June. Picture Kym Smith
Michael Sharp, on behalf of Downer EDI, in the Evolution Rail consortium, said: “Evolution Rail will comply with the local content requirement of at least 50 per cent, which will result in a significant number of jobs in Victoria.”

The Eureka Rail consortium did not return calls.

Concerns over the tender follow the NSW Government’s decision last week to award a $2.3 billion contract, to build a new intercity train fleet, to a consortium that will build the trains in South Korea.

South East Melbourne Manufacturers Alliance executive officer Adrian Boden said all the manufacturing could be done overseas while still meeting the 50 per cent local content requirement.

“The target could be reached through assembly of cheaply purchased components from overseas and expensive local assembly,” he said.

The State Government this week reaffirmed at least half of the build would be in Victoria.

The first of the seven-car trains are due to run on the Cranbourne-Pakenham line in 2018, once nine level-crossings are removed as part of the $1.6 billion sky-rail project.

The $2 billion project also includes the Pakenham train depot expansion and the introduction of high-capacity signalling.

Tariff barriers should be up so as to allow Australian workers to be on an equal footing with overseas slave-wage economies.

Unforgiven wrote on Aug 26^th, 2016 at 10:02am:


many blessings

keep voting for your predicament !!!!

you empower this paradigm every time you vote for your politicians...



either way be at peace

namaste

- : ) =

Unforgiven wrote on Aug 26^th, 2016 at 10:02am:


Blue prints sent through the internet solves that problem at the speed of light  - 299,792,458 miles per second (if memory serves me correctly  ).

they should be built here .... even if it costs a little more. So should the ships, the subs, tanks, govt. cars etc . Why are governments so determined to kill of manufacturing in this country?