Market Monitor construction Australia 2019

市場監測

  • 澳大利亞
  • 建築

2019年02月21日

Payments in the Australian construction sector take 30-60 days on average, and the level of protracted payments and insolvencies was high in 2018.

 

2019 mm aus cons pic1

 

  • Construction is a significant contributor to the Australian economy, accounting for approximately 8% of GDP. The sector is the largest non-service related industry, contributing AUD 134 billion to the economy and employs more than 1.1 million people.
  • Nation-wide residential construction decreased in the 2018 financial year and is expected to decline further, due to overcapacity, tighter lending conditions and slowing prices. In New South Wales and Victoria residential construction is expected to be hit hard by overcapacity and deteriorating demand after robust growth in previous years.
  • Non-residential construction is at record highs and elevated activity levels are predicted to continue. Infrastructure construction activity is currently rebounding and high levels of activity are expected in the coming five years, underpinned by public investment. The federal government has given transport infrastructure high priority as part of a AUD 75 billion ten-year infrastructure plan.
  • However, despite solid performance in the non-residential segment the weaker residential market is expected to lead to a 10% decrease in total building activity by 2020.
  • Payments in the construction sector take 30-60 days on average, and the level of protracted payments, non-payment notifications and insolvencies was high in 2018. In Western Australia there were many insolvencies triggered by excess supply of housing and commercial space built up during and just after the mining boom. A unit glut in Queensland led to price decreases, combined with lower demand, rising input costs and plummeting unit approvals. Loss making projects for developers and builders increased in 2017 and 2018, leading to high profile business failures.
  • Nation-wide payment delays and insolvencies are expected to increase further in 2019. Therefore our underwriting approach remains cautious, particularly for small businesses in the residential segment and in the Western Australia and Queensland markets generally. Overall, construction sector performance still needs to be closely monitored given its volatility.

 

免責聲明

Each publication available on or from our websites, such as, but not limited to webpages, reports, articles, publications, tips and helpful content, trading briefs, infographics, videos (each a “Publication”) is provided for information purposes only and is not intended as a recommendation or advice as to particular transactions, investments or strategies in any way to any reader. Readers must make their own independent decisions, commercial or otherwise, regarding the information provided. While we have made every attempt to ensure that the information contained in any Publication has been obtained from reliable sources, Atradius is not responsible for any errors or omissions, or for the results obtained from the use of this information. All information in any Publication is provided ’as is’, with no guarantee of completeness, accuracy, timeliness or of the results obtained from its use, and without warranty of any kind, express or implied. In no event will Atradius, its related partnerships or corporations, or the partners, agents or employees thereof, be liable to you or anyone else for any decision made or action taken in reliance on the information in any Publication, or for any loss of opportunity, loss of profit, loss of production, loss of business or indirect losses, special or similar damages of any kind, even if advised of the possibility of such losses or damages.