Australia Q1 Construction Activity Stalls

Total construction work done in Australia was flat at AUD 74.43 billion in Q1 2025, following an upwardly revised 0.9% increase in the previous quarter and falling short of market expectations for a 0.5% rise.

Growth in building construction (0.9% vs 0.1% in Q4 and) and the residential sector (1.6% vs 1.6%) was offset by declines in engineering work (-1.0% vs 1.7%) and non-residential output (-0.1% vs -2.2%).

Geographical-wise, construction work done increased in Queensland (1.5%), South Australia (6.7%), and Western Australia 2.0%); but fell in New South Wales (-1.3%), Victoria (-1.1%), Tasmania (-4.3%), Northern Territory (-21.6%), and Australian Capital Territory (-2.0%).

On an annual basis, construction activity grew by 3.5%, accelerating from a 1.9% increase in Q4.