Australia Construction Market by Type (Renovation, and New Construction), by Construction Method (Traditional, Prefabricated/Modular, 3D-Printed, and Green/Sustainable), by Contractor Type (Large Contractor, Medium Contractor, and Small Contractor), and Sector (Real Estate, Commercial, Infrastructure, Industrial) – Industry Trends and Forecast, 2025–2030
Industry: Construction & Manufacturing | Publish Date: 05-Jun-2025 | No of Pages: 84 | No. of Tables: 117 | No. of Figures: 62 | Format: PDF | Report Code : CM2220
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Australia Construction Industry Overview
The Australia Construction Market size was valued at USD 322.39 billion in 2024, and is predicted to reach USD 356.21 billion by the end of 2025. The industry is predicted to reach USD 523.88 billion by the end of 2030, at a CAGR of 8% from 2025 to 2030.
The market is experiencing substantial growth, largely driven by the rollout of megaprojects and sustained government investments in infrastructure, transport, housing, and energy systems. Projects like METRONET, Sydney Metro, and the Melbourne Metro Tunnel exemplify the nation's commitment to expanding connectivity and urban development, while increased funding for modular housing and energy initiatives further accelerates market momentum.
However, this growth is tempered by complex regulatory frameworks and permitting delays that hinder project timelines and inflate costs. At the same time, the adoption of digital technologies and Building Information Modeling (BIM) is reshaping the construction landscape, enhancing project efficiency, accuracy, and collaboration, and paving the way for smarter, more sustainable infrastructure development across Australia.
The Development of Megaprojects in the Country is Fueling the Australia Construction Market Growth
The Australia construction market is witnessing considerable expansion, primarily driven by the surge in large-scale megaprojects. Key projects started in 2024 like the Western Sydney Infrastructure Plan, METRONET, West Gate Tunnel, Melbourne Metro Tunnel, Adelaide’s North-South Corridor, and Sydney Metro, play a significant role in the ongoing growth of the market.
Additionally, initiatives such as the Bruce Highway Upgrade Program, which remains a critical focus, reflect the continued investment in enhancing the nation's transportation infrastructure. These high-profile projects are pivotal in driving the expansion of the construction industry, underscoring its central role in supporting the country’s development goals.
Increasing Government Investments Boost the Australia Construction Market Share
The Australia construction market is witnessing robust growth, largely fueled by increased investments in major infrastructure initiatives. A significant share of these funds is being allocated to critical sectors like road transport and energy, both essential for improving national connectivity and advancing sustainable energy solutions.
In March 2025, the Australian Government announced a $54 million investment to accelerate housing construction through advanced manufacturing of prefabricated and modular homes. This ongoing financial commitment is driving the expansion of key infrastructure from transport networks to energy system upgrades. As these projects move forward, they are expected to reinforce long-term development goals and contribute meaningfully to Australia’s economic growth.
Regulatory Challenges Hindering the Growth in the Australia Construction Market
Navigating through regulatory complexities poses a significant challenge to the Australia construction market expansion. Infrastructure projects encounter delays due to the complex network of government regulations and extensive permitting procedures. These projects require a variety of permits and approvals from authorities at local, regional, and national levels, including compliance with zoning laws, environmental assessments, building codes, safety standards, and other regulations.
The lengthy process of obtaining permits, coupled with bureaucratic inefficiencies and varying regulations across different jurisdictions, leads to prolonged project timelines and increased costs.
Additionally, sudden changes in regulations or unexpected policy shifts disrupt ongoing projects and discourage potential investments.
The Role of Digitalization and BIM is Expected to Create the Australia Construction Market Demand
The integration of digitalization and Building Information Modeling (BIM) is opening new opportunities within the construction industry. As more stakeholders adopt BIM, they digitally design, manage, and simulate infrastructure, which leads to improved project accuracy, reduced errors, and better coordination among teams. BIM has become a crucial tool for increasing productivity, minimizing delays, and optimizing resource utilization throughout construction projects.
A notable development is the launch of Allplan 2024 by ALLPLAN in April 2024, which enhances BIM capabilities and cloud-based workflows, highlighting the ongoing shift towards digital project execution.
Additionally, the convergence of BIM with emerging technologies such as artificial intelligence (AI), the Internet of Things (IoT), and cloud computing enables real-time data sharing, predictive maintenance, and enhanced facility management, further transforming the construction sector.
Competitive Landscape
The market players operating in the Australia construction industry include Worley, Lendlease Group, CIMIC Group Limited, John Holland Group, Hutchinson Builders, Downer Group, Laing O'Rourke Australia, Probuild, Buckeridge Group of Companies, Fulton Hogan, Acciona, BMD Company, Multiplex, Mirvac, Hansen Yuncken, and others.
Australia Construction Market Key Segments
By Type
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Renovation
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New Construction
By Construction Method
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Traditional Construction
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Prefabricated/Modular Construction
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3D-Printed Construction
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Green/Sustainable Construction
By Type of Contractor
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Large Contractor
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Medium Contractor
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Small Contractor
By Sector
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Real Estate
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Residential
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Affordable
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Luxury
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-
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Commercial
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Retail Buildings
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Office Buildings
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Hospitality
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Healthcare Facilities
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Educational Institutes
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Entertainment Ventures
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Infrastructure
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Transportation
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Airport
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Port
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Rail
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Road
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Water and Wastewater
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Energy
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Telecommunication
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Industrial
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Manufacturing Plant
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Warehouses
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Power Plants
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Oil Refineries
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Chemical Plants
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Key Players
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Worley
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Lendlease Group
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CIMIC Group Limited
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John Holland Group
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Hutchinson Builders
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Downer Group
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Laing O'Rourke Australia
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Probuild
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Buckeridge Group of Companies
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Fulton Hogan
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Acciona
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BMD Company
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Multiplex
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Mirvac
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Hansen Yuncken
REPORT SCOPE AND SEGMENTATION:
|
Parameters |
Details |
|
Market Size in 2024 |
USD 322.39 Billion |
|
Revenue Forecast in 2030 |
USD 523.88 Billion |
|
Growth Rate |
CAGR of 8.0% from 2025 to 2030 |
|
Analysis Period |
2024–2030 |
|
Base Year Considered |
2024 |
|
Forecast Period |
2025–2030 |
|
Market Size Estimation |
Billion (USD) |
|
Growth Factors |
|
|
Companies Profiled |
15 |
|
Market Share |
Available for 10 companies |
|
Customization Scope |
Free customization (equivalent up to 80 working hours of analysts) after purchase. Addition or alteration to country, regional, and segment scope. |
|
Pricing and Purchase Options |
Avail customized purchase options to meet your exact research needs. |
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