Qld Train Manufacturing Program taps Hyundai Rotem for design

An international manufacturer has emerged as a key subcontractor in the state government’s flagship “Queensland-made” $7bn election promise to build 65 new trains locally.

A major Korean train manufacturer has emerged as a key subcontractor in the state government’s flagship “Queensland-made” $7bn election promise to build a fleet of 65 new trains in Maryborough over the next decade.

The Sunday Mail can reveal Hyundai Rotem, a Korean-based manufacturer of rolling stock, will be part of the major Queensland Train Manufacturing Program through a deal with Downer.

Downer was announced as the preferred applicant for the project last month.

But Hyundai Rotem’s involvement was not mentioned during Premier Annastacia Palaszczuk’s official public announcement of the deal or during her visit to Downer’s Maryborough facility – which was also attended by Transport and Main Roads Minister Mark Bailey, Deputy Premier and State Development Minister Steven Miles and Treasurer Cameron Dick.

Mr Bailey said the Korean manufacturer’s involvement would not involve manufacturing – but as a “design partner”.

“Hundreds of Queensland workers will be building all 65 QTMP trains at the Torbanlea manufacturing facility,” he said.

“The equation is simple – hundreds of Queensland workers building dozens of Queensland-made trains in Queensland.”

Mr Bailey said if Downer was awarded the contract as expected this year, the company had advised – and TMR “have always understood” – that they would subcontract to Hyundai Rotem as a design partner.

Premier Annastacia Palaszczuk and ministers at the Downer facility in Maryborough on Monday. Picture: Lachie Millard

Hyundai Rotem’s involvement was also detailed in a Business Korea magazine article last month, which said the company would be “in charge of manufacturing electric locomotives”.

An official from the company was quoted as saying “the order contract has not been inked yet”, and “the amount of the order has not been fixed yet”.

Hyundai Rotem did not respond to The Sunday Mail’s request for comment by deadline. Downer declined to comment, citing confidentiality agreements.

Mr Bailey insisted the trains would not be manufactured overseas.

“If that were to occur it would be a breach of undertakings made during the procurement and subsequent commercial arrangements,” he said.

“The Queensland Train Manufacturing Program procurement places a high priority on local supply, and this will be reflected in the contract with the successful proponent.”

Hyundai Rotem had advertised a $200,000 Brisbane-based commercial manager job ahead of the contract being secured.

The job ad says that under the project “a combined local and overseas design engineering team will be integrating the train subsystems design and delivering the manufacturing documentation for the trains manufactured at Torbanlea manufacturing facility in co-operation with Fraser Coast and Queensland rolling stock equipment local suppliers”.

“The local design team will be working with the overseas design team and local and overseas suppliers to assure the train sets design submissions, compliance, manufacturability, reliability, maintain-ability and safety for the train’s operational life of a minimum of 35 years,” the ad states.