The biggest construction boom in years is expected to see an explosion in the number of new buildings being built.
In fact, many construction equipment manufacturers are looking to move their operations out of China, according to a new report from the Australian Council for Construction Industry.
This is largely due to a combination of a strong economic environment, the need to supply more local labour, and competition from a growing number of Asian countries that are starting to take more of a market share from Western nations, such as India, Singapore and the United States.
Construction equipment manufacturers that operate in China will increasingly have to compete for business with local manufacturers, such is the growing interest in overseas markets, according the council’s report, Construction Equipment & Structures.
“There is a very good economic environment that has resulted in the growth of new investment and there is a real opportunity to grow the sector here in Australia,” said the council chairman, David Pritchard.
The council estimates there will be at least 1.6 million new construction jobs across the country by 2025.
There are currently about 500,000 construction jobs in Australia, with the bulk in Sydney, Melbourne and Canberra.
But with more than a third of those jobs being in the construction sector, the council wants to see the industry move to Australia.
Mr Pritkind said the country needed more people with more skills and experience in the industry to be able to compete with the growing number that are moving out.
“There are now more than 10,000 jobs overseas with around 20,000 in construction in the United Kingdom, France, the Netherlands, Spain, Italy and Germany,” he said.
For those workers who are leaving China, it’s a chance to make a living.
“[Some] have had to take a pay cut to do this work,” he added.
However, there is also a risk that some of the overseas workers will be displaced by the construction boom, leading to the closure of some of Australia’s biggest businesses.
And that could be bad for businesses in the local area, particularly when it comes to infrastructure.
Australia is in the middle of an infrastructure boom that is expected be worth more than $50 billion in the next five years.
It is expected that construction will be the fastest growing sector of the economy by 2020.
According to the council, there are currently more than 30,000 businesses that operate on site.
Topics:business-economics-and-finance,foreign-affairs,business-news,coronavirus,environment,china,australiaFirst posted January 06, 2019 21:42:36Contact Josh Larkin