A new electric bus manufacturing facility in South Nowra is expected to create around 100 new skilled jobs in the Shoalhaven.

Australian-owned bus manufacturer Foton Mobility Distribution plans to build a 6,000-square-metre manufacturing facility in South Nowra from late 2025, subject to Shoalhaven City Council approval.

Federal Member for Gilmore Fiona Phillips joined Member for South Coast Liza Butler and NSW Minister for Transport Jo Haylen on Thursday, 30 January, to announce that the State Government had awarded a contract to Foton for the delivery of 126 battery-electric buses. These will be built in Nowra and will service routes across Greater Sydney.

The facility will also produce battery-electric trucks and hydrogen fuel cell engines, creating approximately 100 ongoing skilled manufacturing jobs for local workers.

"This is fantastic news for our region," said Mrs. Phillips.

"Making more things in Australia, right here on our NSW South Coast - that's what we want.

"This project is all about investment in local manufacturing, creating high-quality local jobs, and transitioning NSW's public transport bus fleet to zero-emissions technology."

Mrs. Phillips said the announcement aligned with the Federal Government's Future Made in Australia Bill, which was passed in November 2024.

"The goal of Future Made in Australia is to increase domestic manufacturing, particularly in regional areas like Gilmore, to create jobs and enhance economic resilience and security," she said.

"Right here in the Shoalhaven, we already have internationally recognised businesses like Air Affairs Australia, now known as QinetiQ, and Alkath's Global Defence Solutions, manufacturing products locally to support HMAS Albatross.

"The Albatross Aviation Technology Park was designed specifically to support defence and aviation industries, as well as to create and sustain local jobs.

"In Gilmore, we also have innovative local businesses building boats, manufacturing construction materials, producing chemicals, and manufacturing food and pharmaceuticals.

"Now, we will be manufacturing electric buses here too, which will create new opportunities for young people and locals seeking retraining to enter the manufacturing sector."

While a development application has been lodged with Shoalhaven Council for the construction of a manufacturing facility in Oxford Street, a nearby building has been leased to allow work to commence as soon as possible. Positions at the facility are expected to be advertised soon.

Foton's contract was one of the first bus orders made through the NSW Government's Zero Emission Buses (ZEB) programme.

The programme is also converting 11 existing bus depots in Greater Sydney to battery-electric technology, constructing a new battery-electric depot at Macquarie Park, and procuring approximately 1,200 new electric buses by 2028.