Overview
The Building & Construction industry in Australia plays a crucial role in the national economy, contributing approximately 11.7% to the country’s GDP. In the year ending June 2025, building and construction work in Australia totaled USD 211 billion, with the sector ranking as the nation’s second largest and a leading provider of full-time employment. The industry comprises around 462,000 business entities, with over 98% being small businesses employing fewer than 20 people (MBA).
The construction industry in Australia is composed of three subdivisions: Construction Services commonly known as tradies, Building Construction (Residential and Non-Residential), and Heavy and Civil Engineering Construction. (ABS)
The 2025 Construction Market Sentiment Survey by the Australian Constructors Association and Arcadis shows that 80–87% of projects are concentrated in high-growth sectors such as energy and sewerage, data centers, and social and affordable housing. Transport infrastructure activity is slowing across New South Wales and Victoria while Queensland is emerging as a key growth region. While outdated contracting practices, labor shortages, and industrial relations challenges continue to hinder progress in the sector, the survey finds that stronger collaboration is the most critical factor for improving productivity. Pricing of key materials continues to ease across most material categories.
When approaching the Australian market, U.S. manufacturers of building products should be aware of the regulatory environment governing these products. Compliance with Australian standards and building codes is essential. Key regulatory bodies include the Australian Building Codes Board (ABCB), which oversees the National Construction Code (NCC); and Standards Australia, which develops and maintains standards for building products and practices. Engaging with these regulatory bodies and understanding the certification processes is an important step for U.S. companies looking to enter the market.
Leading Sub-sectors
Key sub-sectors include Energy and Sewerage (87%), Data Centres (80%) and Social and Affordable Housing (80%).
Opportunities
There are numerous opportunities for U.S. companies in the Australian market. Advanced building materials, particularly sustainable and energy-efficient products, are in high demand due to the growing emphasis on green building practices. Furthermore, as Australian cities invest in smart city initiatives, there is a demand for technologies that enhance urban living, such as smart grids, intelligent transportation systems, and IoT-enabled infrastructure.
American companies offering engineering, consulting, or technology solutions that could fit into any of Australia’s priority areas are encouraged to contact the U.S. Commercial Service for assistance. While some foreign engineering companies have entered the market through acquisitions, there are also opportunities to collaborate and partner with local firms on specific projects in Australia and the Pacific Island Countries. The U.S. Commercial Service has been engaging with both American and Australian engineering firms and is in a good position to offer introductions to potential partners in Australia, especially for those partners looking to address infrastructure capability gaps.
Information on major construction projects in Australia is available through Projectory, a subscription-based service which covers the resource-related, infrastructure, defense, petrochemical, and utilities sectors.
The Brisbane 2032 Olympics provide opportunities for U.S. companies with international expertise in sports events. The event will require extensive construction and upgrading of sports venues, transportation networks, and accommodation facilities. In Decemeber 2025, AECOM, in a joint venture named Unite32 with Laing O’Rourke, has been appointed as the official Delivery Partner for the Brisbane 2032 Olympic and Paralympic Games. They will oversee the planning, design, and construction of 17 new and upgraded venues, managing a program valued at over USD 4.67 billion.
Most recently, Brisbane and Los Angeles have signed a landmark Sister City partnership agreement, marking Brisbane’s first such relationship in 16 years and Los Angeles’ first and only Australian Sister City connection. The agreement focuses on nine key areas including civic administration, urban planning, economic development, and sustainability, and will help both cities share knowledge and build a lasting legacy as they prepare to host the Olympic and Paralympic Games in 2028 and 2032 respectively. Please contact the U.S. Commercial Service regarding upcoming programs and for more information.
Key trade shows:
- Diesel Dirt and Turf Expo (Sydney) April 17-19, 2026 (2027 dates are being finalised)
- The Roads & Traffic Expo (Sydney): October 14 & 15, 2026
- Melbourne Build Expo, November 25 & 26, 2026
- Sydney Build Expo, April 28 & 29, 2027
Resources
- Australian Building Codes Board (ABCB)
- Australian Bureau of Statistics (ABS)
- Infrastructure Australia (IA)
- Games Independent Infrastructure and Coordination Authority (GIICA)
- Green Building Council of Australia (GBCA)
- Housing Industry Association (HIA)
- Master Builders Australia (MBA)
- Australian Constructors Association (ACA)
- Building Products Industry Council (BPIC)