Australia’s construction sector expanded last month
TPM Builders/blog/Is non-residential construction the next big opportunity?
While the last few years have been slow for non-residential construction, primarily thanks to several mining booms sweeping up all the engineers, it looks like this sector of construction is heading for a revival.
Following the mining boom, the Australian economy is still adjusting, and will probably need a while longer to correct itself; however that doesn’t mean we’ll find ourselves in a permanently weakened state. In fact, the construction industry has stayed afloat primarily due to the increase in demand for residential construction, particularly in major East Coast cities. As a bonus, it also seems that non-residential construction is back on the rise, with a number of opportunities being highlighted by the ACI Construction Monitor and early reports suggest that public sector construction is already growing quickly, primarily in NSW and Victoria.
Smaller states like South Australia and Tasmania are also climbing the ranks slowly, bypassing the mining boom states which are falling down the ladder as the mines begin to wind down. In particular, these states are seeing an increase in work across railways, bridges and ports while the usual work across roads, highways and subdivisions remains steady.
While industry experts say the growth is slow and there is still a long way to go before national non-residential construction work increases enough to balance out the dip in the economy following the mining boom, there is definitely a lot of opportunity out there and easy forecasting says there’s much still to come…