A meeting to organise a campaign to ensure New Zealand rail stock is built in New Zealand has demanded the cancellation of a contract that dealt a major blow to Dunedin's Hillside Workshops.
Spokesman for the newly formed Kiwi Wagons for KiwiRail campaign, Victor Billot, said the goal was the cancellation of a contract given to China CNR Corporation to build the first 300 of 3000 container flatdeck wagons to replace KiwiRail's ageing fleet.
The state-owned company awarded the estimated $29 million contract to the Chinese company last year, prompting criticism and disappointment among supporters and employees at the Dunedin workshop.
Mr Billot said the group wanted all rolling stock for KiwiRail to be built by New Zealand companies.
The meeting, attended by about 30 people, heard from Rail and Transport Maritime Union head Jim Kelly that Hillside had to compete with low-paid workers and government subsidies in China.
The wagons produced there would not have the quality of wagons built at Hillside, he said.
The issue was "very, very important" for Dunedin.
Mr Billot said a campaign committee was set up at the meeting, and the issue would be taken to the New Zealand Council of Trade Unions later this week to "ramp up" the campaign.
