Rio Tinto has completed construction of its first Western Australia-made iron ore rail car as part of a wider push to boost domestic manufacturing within its Pilbara operations.
The mining company is investing approximately AUD 150 million (USD 90 million) to procure 100 rail cars built locally, while also continuing to invest in bearing refurbishment for its iron ore network. The initiative is being delivered in partnership with Gemco Rail and CRRC Qiqihar Rolling Stock Co. Ltd, and is supported by the Western Australian Government.
“Our vision for Western Australia’s future is clear: we want to continue working closely with the resources industry to diversify our nation-leading economy and make more things here. These railcars are an excellent example of that vision already in action. I want to congratulate Rio Tinto, Gemco Rail and CRRC Qiqihar Rolling Stock for building locally and supporting Western Australian jobs and industry,” Western Australian Premier Roger Cook commented.
The first 40 rail cars will be produced at Gemco’s Forrestfield facility in Perth. A further 60 will be manufactured at a new facility in Karratha, due to begin operations later this year. The new Karratha workshop will support the creation of a rail car manufacturing and bearing maintenance industry in the Pilbara, generating up to 25 local jobs.
We want to support local business and create new economic opportunities in the communities where we operate. By partnering with Gemco Rail and CRRC Qiqihar Rolling Stock, we are establishing new manufacturing capability in the Pilbara that will create a reliable and sustainable supply chain to support our operations and the regional economy for years to come,” Simon Trott, Chief Executive of Rio Tinto Iron Ore, said.
Gemco Rail is employing advanced engineering techniques and robotic welding technology to produce rail cars capable of carrying up to 118 tonnes of iron ore. The Karratha site will also handle the supply and reconditioning of rail car bearings, reducing the need for long-distance transport between the Pilbara and Perth.
“We are proud to partner with Rio Tinto to re-establish iron ore rail car manufacturing in Western Australia. The construction of Rio Tinto’s first locally built rail car marks a significant milestone in developing a sustainable local supply chain. Gemco Rail’s investment in both our Forrestfield facility, and our expansion into Karratha reflects our long-term commitment to our customers and to strengthening regional industries. Led by our highly skilled workforce we are delivering high-quality rail solutions which will support Rio Tinto’s Pilbara operations,” Dean Draper, Managing Director and CEO of Engenco Limited, the parent company of Gemco Rail, stated.
Rio Tinto operates a fleet of approximately 13,500 iron ore rail cars across its Pilbara network. It typically replaces around 10 retired rail cars annually. The first batch of locally made rail cars is expected to begin hauling iron ore in the first half of 2025.
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