Australia's mining boom and the related high Aussie dollar is playing havoc with the country's manufacturing industry, a union says.

According to the Australian Manufacturing Workers' Union (AMWU), 100 workers who manufacture mining truck bodies at Caterpillar Australia's Tullamarine plant are the latest victims of the record-high Aussie dollar.

AMWU National Secretary, Dave Oliver, said that it is a real concern when not even jobs manufacturing mining equipment are safe.

"Despite being a profitable operation making vehicles in demand by the mining industry, Caterpillar has announced it will instead import the equipment from Mexico," he said.

"If we let our manufacturing base decline, it will be a disaster when the mining boom ends, as it eventually will."

Between June and November this year, the Australian dollar appreciated by 17 per cent against the Mexican Peso.

As a result, 60 full-time Caterpillar employees and 40 further labour hire workers have been told operations will cease at Tullamrine on December 15.

"This is only the latest example of the mining boom having a double whammy effect on the manufacturing industry," said Mr Oliver.

Mr Oliver said that greater government action to support manufacturing is in Australia's long-term interests.

"We need more government action to sustain our manufacturing base so that when the boom ends, we have not lost a vital part of our economy, and the jobs and skills it sustains.

"The MRRT should be broadened to help pay for programs to improve productivity to help sustain manufacturing against the effects of the mining boom. It should also be used to provide investment in apprenticeships and training programs to lift skills and make our industry more competitive."