This month, the Australian Construction Industry Forum released the May edition of its twice annual construction market forecasts.
Overall, building and construction work is expected to fall by around 5.5% this financial year—down from $253 billion in 2017-18 to $239.2 billion in 2018-19.
The total decline is mostly attributed to a staggering 38% drop in heavy industry construction (including mining), although this is expected to improve next year.
Residential building is forecast to shrink 1.5% by the end of this financial year, with a further decline of 5.8% expected in 2019-20.
More positively for AMCA members has been the continued growth of the non-residential building sector. While coming off a strong 11% growth 2017-18, increases are expected to moderate over the immediate term, with 2.9% growth expected this financial year and only 1.0% expected in 2019-20.
For more detailed analysis of market conditions and the economic drivers underpinning growth forecasts, AMCA members can access ACIF data as part of their AMCA membership.
Please contact your local AMCA representative for more information.
About ACIF Forecasts
Twice annually, the Australian Construction Industry Forum (ACIF) publish a series of detailed economic forecasts for the building and construction industry.
Overseen by ACIF’s Construction Forecasting Council (CFC) and produced by one of industry's leading economists, these forecasts have developed a reputation for providing decision makers with reliable and highly accurate data with which to plan, as well as a big picture overview of Australian market trends.
Key features include:
- Released twice annually (May and November)
- 10-year outlook
- Residential building, non-residential building and engineering construction work
- Public and private sector projects
- Over 6,000 major projects captured
- Based on credible sources including ABS, CoreLogic and expert economic reports
- Scrutinised by a panel of economists and industry experts from finance, housing, commercial property and more.
Forecasts are published in the Australian Construction Market Report and are also available via the ACIF Customised Forecasts Dashboard, which allows users to filter data based on a variety of parameters including their preferred market segment and locality.
Options for data analysis include:
- Building and construction work—forecast and actual
- Construction costs
- Labour requirements
- Over 20 work different types
- Locations by states and/or capital cities