Dublin, Sept. 17, 2024 (GLOBE NEWSWIRE) -- The "Australia Construction Industry Databook Series - Market Size & Forecast by Value and Volume (area and units), Q2 2024 Update" report has been added to ResearchAndMarkets.com's offering.
The construction industry in Australia is expected to grow by 6.9% to reach AUD 193.20 billion in 2024. A CAGR of 6.2% is projected during 2024-2028, with the Australia's construction output expected to reach AUD 246.06 billion by 2028, indicating substantial growth potential.
Australia's construction industry shows resilience and growth across various sectors despite challenges like labor shortages, rising costs, and supply chain disruptions. Investments in infrastructure and adoption of innovative technologies are driving sustainable development, positioning the industry for continued expansion amidst evolving regulatory landscapes and shifting priorities.
The construction sector faces challenges like inflation, skills shortages, and supply chain disruptions, expected to impact short-term growth. However, substantial investments in infrastructure, particularly in transport and energy, are anticipated to support future expansion, with over 660 major public projects underway. Innovative construction technologies and sustainable practices are also enhancing efficiency and environmental responsibility.
The Commercial Construction Outlook
- Steady Growth in Commercial Project Commencements: In March 2024, non-residential building commencements increased by 1.2%, indicating ongoing demand for commercial spaces. Major projects that commenced in Q2 2024 include:
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- Queen Victoria Market Redevelopment in Melbourne, a $400 million project involving the construction of 26,000m2 of four sheds
- Western Sydney Business Precinct, a large-scale commercial development in New South Wales
- Bennetts Lane Commercial Tower, a 20-story, 12,000m2 office tower in Melbourne
- Shift in Infrastructure Priorities:The focus has shifted from transport infrastructure to utilities, social buildings, and resource projects, presenting new opportunities and challenges for the commercial construction sector.
- Ongoing Supply Chain and Labor Shortages:Supply chain disruptions and labor shortages are causing project delays and increased costs. In June 2024, non-residential building approvals dropped by 4.2%, highlighting challenges for developers.
- Resilience in the Face of Headwinds: Despite challenges, the commercial construction sector has shown resilience, with the total value of new non-residential buildings increasing by 3.2% earlier in the year. This suggests that demand remains strong, particularly for high-quality, sustainable commercial spaces.
The Institutional Construction Outlook
- In the last few months, Australia's institutional construction sector has experienced a shift in infrastructure priorities, focusing more on utilities and social infrastructure. Major projects like the Kings Forest Town Centre and Brimbin New Town emphasize sustainable development and community integration, contributing significantly to local economies and job creation.
- The construction industry is facing labor shortages, with an expected deficit of 131,000 workers by 2024. Despite this, the outlook is cautiously optimistic due to government infrastructure spending commitments and a gradual economic recovery.
- There is a trend towards using innovative construction methods to improve efficiency and reduce costs in the long term. The industry is set for growth as it adapts to changing demands and embraces new technologies.
The Industrial Construction Outlook
- Australia's industrial construction sector has seen growth from increased government and private investments in infrastructure projects, particularly in warehouse expansion. However, the sector faces challenges such as labor shortages and rising material costs, leading to project delays and budget overruns.
- Innovations like prefabrication and modular construction, along with technologies like Building Information Modeling (BIM) and automation, are being embraced.
- The sector is poised for cautious growth, supported by ongoing infrastructure investments and a robust demand for industrial spaces, but addressing labor and supply chain issues is urgent for sustaining this momentum.
The Infrastructure Construction Outlook
- In the last few months, Australia's infrastructure construction sector has seen a shift in priorities with a strong pipeline of over 160 major infrastructure projects, especially in the energy sector. This reflects a growing focus on utilities and social infrastructure rather than traditional transport projects.
- Despite an expected slight decline in overall construction activity, the sector is set for significant investment, driven by government initiatives and private investments aimed at enhancing critical infrastructure to support population growth and urbanization.
- The construction industry faces labor shortages and rising material costs, which may impact project timelines and budgets. To address these challenges, adopting innovative construction methods like prefabrication and modular construction is increasingly important for improving efficiency and reducing costs.
This market intelligence report offers a comprehensive view of market opportunities in the building and infrastructure construction industry at the country level. With over 100+ KPIs covering growth dynamics in building and infrastructure construction, construction cost structure analysis, and analysis by key cities in Australia, this databook provides a wealth of data-centric analysis with charts and tables, ensuring stakeholders are fully informed.
- Market Dynamics by Value, Volume, and Number of Units: This report provides a comprehensive data-centric view of size and structure, industry dynamics, and end market opportunities in Australia's building and infrastructure construction industry.
- The report provides a detailed analysis of the residential construction market, covering various types of construction, development stages, price points, and key cities. KPIs include value, volume, and number of units, offering a comprehensive view of this sector.
- Commercial Construction Outlook: Provides construction outlook by value and volume across office buildings, retail buildings, hospitality buildings, restaurant buildings, and sports facilities.
- Institutional Construction Outlook: Provides construction outlook by value and volume across manufacturing plant buildings, metal & material processing buildings, and chemical & pharmaceutical buildings.
- Industrial Construction Outlook: Provides construction outlook by value and volume across manufacturing plants and educational buildings.
- Infrastructure Construction Outlook: This report provides growth dynamics and market analysis for three key sections: marine and inland, utility system and transport infrastructure construction.
- City Level Analysis: Provides outlook of the top 10 cities in Australia by construction value.
- The Construction Cost Structure Analysis module in this report provides a detailed outlook on construction costs by construction value, such as material, labor, equipment, and others. At a granular level, it offers a comprehensive material cost analysis by type of materials and labor cost by type of work, ensuring stakeholders deeply understand the cost structure.
Market Data and Insights:
This report provides market size and forecast across 40+ construction segments for ten years from 2019 - 2028 in Australia.
KPIs covered include the following:
- Market size by value
- Market size by volume of construction
- Number of units
Australia Economic Indicators
Australia Top Cities Construction Data
Australia Residential Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Housing type (multi family, single family)
- Key cities (Tier - 1, Tier - 2, Tier - 3 segmentation)
- Price point/income level (luxury, mid-tier, affordable)
- Construction stage (new construction, re-development & maintenance)
Australia Residential Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Green building by Housing type
- Green building by Key cities
- Green building by Price point/income level
Australia Commercial Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Office
- Retail
- Hospitality
- Restaurant
- Entertainment
- Sports facility
- Other commercial building construction
- Construction stage
Australia Commercial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Office green building construction
- Retail green building construction
- Hospitality green building construction
- Restaurant green building construction
- Entertainment green building construction
- Sports facility green building construction
- Other commercial green building construction
Australia Industrial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units)
- Manufacturing Plants building construction
- Chemical & Pharmaceutical building construction
- Metal & Material Processing building construction
- Construction stage
Australia Institutional Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Healthcare construction
- Educational construction
- Other building construction
- Construction stage
Australia Institutional Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Healthcare green building construction
- Educational green building construction
Australia Infrastructure Construction Sectors: 10-year market size & forecast in value terms by
- Marine and inland water infrastructure
- Utility system construction (oil and gas infrastructure, communication infrastructure, power infrastructure, water and sewer infrastructure)
- Transportation infrastructure (highway, street and bridge construction, railway construction, airport construction, and tunnel construction)
- Construction stage (new construction, re-development & maintenance)
Australia Green Infrastructure Construction: 10-year market size & forecast in value terms
Australia Construction Cost Structure Analysis: 10-year market size & forecast in value terms
- Cost Analysis by Type (Material, Labour, Equipment, Others)
- By Material & Work Cost: It provides the cost outlook of material costs by type of materials used in construction (Cement, Steel, Sand, Aggregates, Bricks, Wood, Windows Glazing, Flooring, Plumbing, Electrical, Painting, Other Materials)
- By Labour Cost: It provides the cost outlook of labour costs (RCC Construction Work, Masonry and Plastering Work, Plumbing Work, Water Proofing Work, Carpentry Work, Electrical Work, Tile Fixing Work, CATV Antenna Points, Painting Work, Departmental Labour)
- By Type of Construction (New, Re-Development)
- By Material Cost: It provides the cost outlook of material costs by type of materials used in construction (Concreting Sand, Stone Aggregate, Ordinary Portland Cement, Reinforced Concrete (Grade 30 MPA), Reinforced Concrete (Grade 40 MPA), High Tensile Steel bars, Mild Steel Round Bars, Structural Steelwork, Plywood Formwork (1800*900*12mm), Clay Bricks)
- Type of Labour (Skilled vs. unskilled)
For more information about this report visit https://www.researchandmarkets.com/r/ozl6q1
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