French manufacturing giant signs $1.85b deal to deliver Melbourne trams

A $1.85 billion deal between a French manufacturing giant and the Victorian government will see the creation of one hundred, locally built new Melbourne trams.

Bombardier Transportation Australia, a part of global rolling stock manufacturer Alstom, was awarded the framework contract to build Victoria’s next generation trams, the state government announced.

The G-class trams will be built at Alstom’s Dandenong South factory in Melbourne’s outer southeast and use at least 65 per cent of local content.

The new models will replace some of the state’s older high-floor and less accessible A, B and Z models.

Mark Coxon, Managing Director of Alstom Australia and New Zealand, said they were delighted to continue supporting and be involved in the state government’s investment plan to provide “safe, efficient and modern mobility solutions”.

“Trams are a crucial transport mode in Melbourne,” Coxon said.

“The local delivery of this project will provide an all-inclusive experience for commuters while securing the manufacturing future and supply chains of one of Australia’s longest-standing rolling stock manufacturing hubs at Dandenong for the next decade, confirming Victoria as the leading railway manufacturing State in Australia,” he said.

As part of the 15-year contract, a maintenance facility will be built at Maidstone in the city’s northwest, where most of the trams will be housed.

The deal is currently the biggest tram contract in Australia and in the Southern hemisphere.

Premier Daniel Andrews said Alstom, which acquired Bombardier Transportation last year, was selected after a tender process and the deal would lead to the creation of 1900 local jobs.

Public Transport Minister Ben Carroll said the order for 100 trams was the largest in Australia’s history and described the design as a “game-changer” for disabled Victorians, who make up 20 per cent of the population.

The first of the Flexity 2 light rail vehicles are scheduled to roll out from 2025.

with news from AAP

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