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How mines control driverless trucks

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Zoe Corbyn Two huge mining trucks pass by each other in a mine in Western AustraliaZoe Corbyn

Fifty of these giant driverless trucks work in the Greater Nammuldi iron ore mine

It doesn’t get much more remote than this. I’m in inland Western Australia, at Rio Tinto’s Greater Nammuldi iron ore mine.

It’s about a two-hour flight north from Perth in a region called the Pilbara.

No-one lives permanently here. Around 400 workers are on the site at any one time, and they are flown in, working between four and eight days, depending on their shift pattern, before flying home.

Giant trucks the size of townhouses, capable of hauling 300 tonnes, criss-cross red-earth roads in various sections of this open-pit mine complex.

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For an outsider like me their size is intimidating enough, but multiplying that feeling is the knowledge that there’s no driver at the wheel.

During a tour of the site in a normal-sized company vehicle, one of the trucks comes into view, approaching from a side road.

I sigh with relief as it deftly turns and continues in the direction we have just come. “Did it make you feel uncomfortable?,” asks the vehicle’s driver Dwane Pallentine, a production superintendent.

Zoe Corbyn Henry - a truck with a water tank on the back - sprays water on the dusty roads.Zoe Corbyn

“Henry” the autonomous water cart sprays roads to keep the dust down

Greater Nammuldi has a fleet of more than 50 self-driving trucks that operate independently on pre-defined courses, along with a handful that remain manually driven and work separately in a different part of the mine.

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Being trialled is also an autonomous water cart affectionately known as Henry, which, along with manually driven ones, sprays the mine roads to keep the dust down.

The company vehicle I am in is able to operate alongside the autonomous trucks only because it has been fitted with high-accuracy GPS, which allows it to be seen within a virtual system.

Before entering the mine’s gated autonomous zone, we logged onto this system and a controller verified over the radio that we were visible.

It has encased our vehicle in a virtual bubble that the self-driving trucks “see” and which causes them to manage their proximity by slowing or stopping as necessary.

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A touch screen in our cabin displays all the staffed and autonomous vehicles and other equipment in the vicinity, along with “permission lines” that show the immediate routes the self-driving trucks are intending to take. Had I looked at the screen instead of fretting I would have seen that truck was going to turn.

In addition to all vehicles being fitted with a big red emergency button that can stop the system, the autonomous trucks have lasers and radars front and rear to detect collision risks.

The sensors also detect obstacles. If a large rock fell off the back of a truck, the sensors on the next truck along would notice it and the vehicle would stop.

However, some trucks seem extra sensitive – on my tour I see a couple foiled simply by rough roads.

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Co-ordinating and monitoring these robots is Rio Tinto’s Operations Centre (OC) in Perth, about 1,500km (930 miles) to the south.

It’s the nerve centre for all the company’s Pilbara iron ore operations, which span 17 mines in total, including the three making up Greater Nammuldi.

Guided from here by controllers, include more than 360 self-driving trucks across all the sites (about 84% of the total fleet is automated); a mostly autonomous long-distance rail network to transport the mined ore to port facilities; and nearly 40 autonomous drills. OC staff also remotely control plant and port functions.

Autonomy isn’t new to Rio’s Pilbara operations: introduction began in the late 2000s.

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Nor is it unique: Australia has the greatest number of autonomous trucks and other mining equipment of any country, and other mining companies in the Pilbara also use the technology.

But the scale Rio has grown its operations to here, including at Greater Nammuldi – which has one of the largest autonomous truck fleets in the world – gives it global significance.

And it’s a global trend. According to GlobalData the number of self-driving haul trucks worldwide has roughly quadrupled over the past four years to more than 2,000, with most made by either Caterpillar or Komatsu.

Rio Tinto Two men sit at a desk with multiple screens monitoring trucks and other mining equipmentRio Tinto

The trucks and other mining equipment are monitored at a control room in Perth

The biggest reason for introducing the technology has been to improve the physical safety of the workforce, says Matthew Holcz, the managing director of the company’s Pilbara mines.

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Mining is a dangerous occupation: heavy machinery can be unpredictably operated by people who can also become fatigued. “The data clearly shows that, through automation, we’ve got a significantly safer business,” says Mr Holcz.

It has also improved productivity – to the tune of about 15%, he estimates. Autonomous equipment can be used more because there are no gaps due to shift changes or breaks. And autonomous trucks can also go faster when there is less staff-operated equipment on the scene.

Such automation does not come cheap. Rio won’t disclose what it has spent in total on its Pilbara automation journey to date, but observers put it at multiple billions of dollars.

Meanwhile, employment opportunities have evolved. The narrative might be one of robots taking jobs, but that doesn’t seem the case here so far.

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While the OC has about one controller for every 25 autonomous trucks – according to Rio, no one has lost their job because of automation.

Instead, there have been redeployments: truck drivers have joined the OC as controllers themselves, been reskilled to operate different pieces of equipment, such as excavators, loaders and dozers, or gone to drive manual trucks at different sites.

On the OC’s large open plan floor, amid the banks of monitors arranged in clusters for the different mines, I meet Jess Cowie who used be a manual driller but now directs autonomous ones from the central drill pod. “I still put holes in the ground…just without the dust, the noise and being away from the family,” she says.

Zoe Corbyn Zoe standing next to a mining truck. The wheels look taller than her.Zoe Corbyn

Each mining truck can haul 300 tonnes of rocks

Automation is delivering a “step change” in terms of safety in the mining industry says Robin Burgess-Limerick, a professor at the University of Queensland in Brisbane who studies human factors in mining. But it doesn’t mean there isn’t room for improvement.

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Professor Burgess-Limerick has analysed incidents involving autonomous equipment reported to regulators.

As he sees it, the interfaces used by staff both in the field and in control centres to gain information aren’t optimally designed. There have been situations where field staff have lost awareness of the situation, which better screen design may have prevented. “The designers of the technology should put a bit more effort into considering people,” he says.

And there is also a risk that controllers’ workloads can be overwhelming – it is a busy, high stakes job.

Over-trust, where people become so confident the autonomous equipment will stop that they start putting themselves at risk, can also be an issue, and he notes effort needs to be directed into improving the ability of trucks themselves to detect moisture. There have been incidents where wet roadways have caused them to lose traction.

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There can be legitimate safety concerns with autonomous equipment, says Shane Roulstone, co-ordinator for the Western Mine Workers Alliance, which represents mining-related workers in the Pilbara.

He points to a serious incident this May where an autonomous train slammed into the back of a broken-down train, which workers at the front end were repairing (they evacuated before it hit but were left shaken).

But Mr Roulstone also praises Rio generally for having, over time, developed “some good strategies, procedures and policies” around how people interact with automated vehicles.

Mr Roulstone expects that at some point options for redeployment will lessen and there will job losses. “It is just the mathematics of it,” he says.

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Meanwhile, Rio’s automation journey in the Pilbara continues with more trucks, drills and Henry the water cart. It is also closely watching work by Komatsu and Caterpillar to develop un-staffed excavators, loaders and dozers.

Late in the afternoon, waiting at Greater Nammuldi’s airport for the last flight back to Perth, the announcement comes that it has been cancelled due to an issue with the plane. That’s 150 extra people who will now need to be fed and accommodated. It is nothing for Rio, but I can’t help but think we humans are complicated compared to robots.

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Nissan to lay off thousands of workers as sales drop

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Nissan to lay off thousands of workers as sales drop

Nissan has said it will lay off thousands of workers as it slashes global production to tackle a drop in sales in China and the US.

The Japanese car making giant says it will cut 9,000 jobs around the world in a cost saving effort that will see its global production reduced by a fifth.

Nissan did not immediately respond to a request from BBC News for details on where the job cuts will be made.

The company employs more than 6,000 people at its manufacturing plant in Sunderland, North East England.

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The company also cut its operating profit forecasts for 2024 by 70%. It was the second time this year that the firm has lowered its outlook.

“These turnaround measures do not imply that the company is shrinking,” said Nissan’s chief executive Makoto Uchida.

“Nissan will restructure its business to become leaner and more resilient.”

Nissan’s shares were trading more than 6% lower on Friday morning in Tokyo.

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Growing competition in China has led to falling prices, which has left many foreign car makers there struggling to compete with local firms like BYD.

In November last year, Nissan and its partners announced a £2bn ($2.6bn) plan to build three electric car models at its Sunderland factory.

The firm said it will build electric Qashqai and Juke models at the plant alongside the next generation of the electric Leaf, which is already produced there.

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Japan is having a moment but will it survive Trump?

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Within a few hours of Donald Trump securing his victory in the US, Japanese media was using the term matatora — the third Trump-related entry in Japan’s dictionary of escalating disquiet at his possible return.

The first word in the sequence, moshitora (“what if Trump”), was current in the latter months of 2023 and set a tone of background nervousness in government, corporate and market circles. The second, hobotora (“most likely Trump”), has been in widespread use this year, demanding more serious fretting around geopolitics, inflation and trade risk. Matatora (“Trump is back”) grants a general licence to gasp. 

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For some, though, the word has unleashed a bullish snort and an argument that — absent embroilment in regional conflict or some other unforeseen calamity — Japan may be better placed than almost any other developed market outside the US to flourish over the next few years. 

Tokyo stocks, declares Neil Newman, a strategist who has been covering Japan since the 1980s, have rarely been so primed for ignition. If anything, he says, the political paralysis to emerge from Japan’s messy general election last month, and the implied guarantee of no bad policymaking, should only make the market more attractive to big global funds.

It is a beguiling argument, given an extra sparkle by the various volatile knee-jerk market moves in Tokyo that accompanied Wednesday’s news: gains for exporters (on assumptions of an even weaker yen), defence industry stocks (Trump will demand allies spend more on their militaries), banks (inflation will rise and so will interest rates) and companies that stand to benefit from the (probably accelerated while Trump is in power) reshoring of Japan’s semiconductor industry.

Nicholas Smith, a strategist at CLSA, also sees the prospect of a six-month boost for Japan as animal spirits lift the financial sector. Global capital spending, frozen in the run-up to the US election, should now thaw quickly, favouring Japan.

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The longer-term case for Japanese equities under Trump, though, depends on two main lines of reasoning. The first is that Shanghai and Hong Kong’s loss will be Tokyo’s gain. US-China relations under the Biden administration have not been good, and there is reason to expect them to worsen under Trump. US pension funds have already come under pressure to stop or withdraw investment, while China-based dealmaking led by US private equity has all but fallen silent. Some US pension money may have returned to Hong Kong and China in recent months, but that could quickly reverse under Trump. Critically, the flows may well divert to Japan by default as the only developed market in Asia with the breadth and depth to absorb them. 

A second argument is that Japan’s recent descent into political stasis — the ruling Liberal Democratic party and its leader, Shigeru Ishiba, have yet to pull together a working government — is not, for the stock market, a big problem. Ishiba and his party are too weak to disturb the economy’s momentum, or unravel the progress on corporate governance reform and restructuring that appeals so strongly to foreign investors. 

There are clearly powerful counter-cases to all this, not least the chance that the Trump administration is associated with such elevated levels of geopolitical uncertainty that investors retreat to the sort of trading patterns that flee risk and tend to reduce exposure to Japan.

And though Japan may indeed be geared to global growth, a significant chunk of that is exposure to China. Even if Japanese companies can navigate their way through higher tariffs and intensified “pick-a-side” rhetoric from Washington, China itself could be far less rewarding than in the past.

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On the political front, the risks around Ishiba’s dismal gamble on a general election could prove much greater than Newman and other bulls suppose. The price paid for the prime minister’s weakness — an inability to communicate Japan’s importance to Trump, or present himself as likely to be around long enough to be worth Trump caring about — will be high.

Since early 2024, when the Nikkei 225 Average finally surpassed the record set in 1989, the brokers’ mantra has been that Japan is Back. A succession of big US and European long-only funds have come to Tokyo to check for themselves that the sales pitch holds true. A growing number appear to have returned convinced but without the sort of comfort levels needed for a really big reallocation to Japan. They had in any case been holding fire until after the US election. 

Trump is Back may ensure that Japan stays Back. It may also set Japan way, way back.

leo.lewis@ft.com

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