The Construction Machinery and Operator Hire in Australia industry is set to return to growth over the next five years as building construction surges. For this reason, industry research firm IBISWorld has updated its report on the Construction Machinery and Operator Hire industry in Australia.
Melbourne, Australia (PRWEB) December 14, 2013
The Construction Machinery and Operator Hire industry in Australia generates the bulk of its revenue from work on commercial building and apartment construction projects. These projects involve using cranes, pile-driving and pumping equipment to erect multi-storey buildings or install heavy structural components (e.g. steel girders, precast concrete panels and beams, and concrete pours). However, according to IBISWorld industry analyst Anthony Kelly, “The industry's largest players typically focus on servicing the mining and infrastructure markets, including the erection of telecommunication and power transmission equipment, pipelines and wind turbines.”
In 2013-14, the industry is expected to generate revenue totalling $2.7 billion and grow 3.3% due to a surge in demand for cranes for use in high-rise apartment developments and office complexes. “However, since the late 2000s, the industry's performance has reflected Australia's two-speed economy,” says Kelly. Industry revenue is projected to decline by an annualised 2.4% over the five years through 2013-14 due to weak demand from the commercial and industrial building market, and particularly the slump in office construction, which is the most important market for high-rise cranes. In 2013-14, the industry is projected to directly employ about 13,500 people in 2,180 businesses, although the total workforce also includes working proprietors, subcontractors (e.g. crane operators, riggers and dogmen) and professional consultants (engineers). The Construction Machinery and Operator Hire industry has a low level of market concentration, with Boom Logistics Ltd, Tutt Bryant Group Limited and Freo Group Pty Ltd the only major players.
The continued cyclical upswing of investment into the commercial building and apartment markets is forecast to drive industry revenue up by 4.1% in 2014-15, underpinning revenue growth. This expansion will be supported by solid growth in the value of total building construction and particularly the upswing in office construction over the next five years.
For more information, visit IBISWorld’s Construction Machinery and Operator Hire report in Australia industry page.
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IBISWorld industry Report Key Topics
Firms in this industry hire out construction machinery, plant and equipment (mainly cranes) with operators for use on a wide range of construction projects and industrial applications.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Technology & Systems
Regulation & Policy
About IBISWorld Inc.
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every Australian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Melbourne, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com.au or call (03) 9655 3886.
For the original version on PRWeb visit: http://www.prweb.com/releases/2013/12/prweb11415608.htm