The New Zealand Government signed a USD 340 million contract with GSI for two new rail-enabled ferries, a decision that Ferry Holdings Limited welcomed, as a sign of the authority’s intention to maintain the Cook Strait Ferry Replacement Program.
This announcement marks a milestone in the implementation of a resilient, low-emission, and future-ready transport solution for the country. The acquisition of two new rail ferries, along with specific infrastructure upgrades in Wellington and Picton, reflects the collaborative commitment to modernizing inter-island connectivity.
“These vessels are not just replacements, they are a generational investment in New Zealand’s maritime and rail future, built to deliver value, resilience, and sustainability for the coming decades,” said Chris Mackenzie, Chairman of Ferry Holdings Limited.
Ferry Holdings is also delivering purpose-fit port infrastructure through a “minimum viability and maximum reuse” approach to reduce costs and delivery risk. “We are providing the infrastructure New Zealand needs, reusing what works and modernizing only the essentials. It is a smart and sustainable approach that prioritizes public value,” added Mackenzie.
Since its establishment in March 2025, Ferry Holdings has worked closely with KiwiRail, CentrePort, Port Marlborough, and government agencies to ensure the program meets national transport needs and delivers value for money.
The Government, through its procurement company Ferry Holdings Limited, contracted Guangzhou Shipyard International (GSI) for the two new ferries. The Minister of Railways, Winston Peters, noted that “GSI is the largest modern integrated shipbuilding enterprise in Southern China, founded in 1954 and listed on the Hong Kong and Shanghai stock exchanges. We want the best possible deal for New Zealand taxpayers and a shipbuilder of the competence, capacity, and potential of GSI underscores the high degree of confidence in our sound ferry replacement program.”
The Government secured the main components, including a fixed price, completion in 2029, and full delivery of the ship specifications for the ferries, which are 200 meters in length, with road and rail decks, and space for 1,500 passengers each.
