City Coast Services, based in Albion Park Rail, will manufacture and fit hydraulic tipper bodies to trucks from Chinese electric vehicle maker Foton.

City Coast Services CEO Darryl Smith said the partnership was a testament to the sophisticated manufacturing know-how in the Illawarra.

"This is an example of a local company being able to add important value to an imported product, selling tipper bodies for a vehicle such as the Foton T5 EV is a great endorsement of the skills and expertise that we have locally."

The trucks are manufactured in China, however the tipper bodies will be made locally, and from Port Kembla steel from the BlueScope steelworks.

The partnership secures the jobs of 70 workers with all works including high-end fabrication, welding and painting undertaken in house.

The Foton T5 EV is the market leader in electric trucks in Australia, and the 200 units already sold in Australia are on delivery runs for major supermarkets, councils and energy companies.

The City Coast fitted tipper tray will be sold as a dealer-fitted option, for vehicles arriving through Port Kembla.

The vehicles are sent to Albion Park Rail where the body is fitted before final delivery to dealers around Australia.

Mr Smith said the contract would spur further investments at the local company.

"The volume of Foton T5 EV tipper bodies has allowed us to focus on production efficiencies and improved materials sourcing."

Foton vehicles are distributed in Australia through its Western Sydney subsidiary Foton Mobility Distribution, which is led by UOW graduate Neil Wang.

"The Wollongong/Illawarra area is like a second hometown for me, so I am particularly proud that a great local business such as City Coast Services is on board for this project," Mr Wang said.

While emissions from power generation have fallen in recent years, transport emissions have remained stubbornly high, even increasing.

Hydrogen and battery electric powered trucks provide a zero-emissions alternative and are in operation around the world, but the long distances and distributed nature of Australian delivery networks has hampered the uptake of these vehicles, as well as specific subsidies encouraging businesses to invest in green trucks.

In 2023, the federal government released the National Electric Vehicle Strategy, and announced the new fuel efficiency standard in February this year.

The fuel efficiency standard will not apply to heavy vehicles, however the National Electric Vehicle Strategy will target increased uptake of zero emissions trucks through the roll out of chagrin stations, a hydrogen network and government procurement of green heavy vehicles.

All the while, this partnership is proving that there is appetite and demand for electric trucks, made and used in the Illawarra.