New Zealand Construction Industry Report 2025: Output to Contract by 3.3% This Year Due to Rising Debt, Fall in Building Permits and Labor Shortage, and Increasing Costs - Forecast to 2029 - ResearchAndMarkets.com

DUBLIN--(BUSINESS WIRE)--The "New Zealand Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2029 (H2 2025)" report has been added to ResearchAndMarkets.com's offering.

New Zealand's construction industry is anticipated to contract by 3.3% in real terms in 2025, owing to rising debt, a fall in building permits, labor shortage, and increasing construction material costs-particularly for cement.

According to the Financial Statements of the Government of New Zealand released in June 2025, the country's net core Crown debt (public debt) stood at NZD182.8 billion ($110 billion) as of June 2025, marking a year-on-year (YoY) increase of 3.8% compared to the same period in 2024.

Over the remainder of the forecast period, however, the construction industry is expected to rebound at an average annual growth rate of 4.4% from 2026 to 2029, supported by investments in transport, health, and education infrastructure projects. Growth will also be driven by the government's commitment to meet 100% of electricity demand from renewable sources by 2030 and achieve net-zero emissions by 2050.

In August 2025, the New Zealand Transport Agency approved over NZD600 million ($362.1 million) for the development of a four-lane section of the Hawke's Bay Expressway between Links Road/Pakowhai Road and Taradale Road roundabouts, including a new grade-separated interchange. Construction is scheduled to begin in November 2025 and be completed by early 2028, with the interchange expected to finish by late 2029.

Report Scope

• Historical (2020-2024) and forecast (2025-2029) valuations of the construction industry in New Zealand, featuring details of key growth drivers.
• Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector.
• Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
• Listings of major projects, in addition to details of leading contractors and consultants.

Reasons to Buy

• Identify and evaluate market opportunities using our standardized valuation and forecasting methodologies
• Assess market growth potential at a micro-level with over 600 time-series data forecasts
• Understand the latest industry and market trends
• Formulate and validate business strategies using the analyst's critical and actionable insight
• Assess business risks, including cost, regulatory and competitive pressures
• Evaluate competitive risk and success factors

Key Topics Covered:

1 Executive Summary

2 Construction Industry: At-a-Glance

3 Context

3.1 Economic Performance

3.2 Political Environment and Policy

3.3 Demographics

3.4 Risk Profile

4 Construction Outlook

4.1 All Construction

• Outlook
• Latest news and developments
• Construction Projects Momentum Index

4.2 Commercial Construction

• Outlook
• Project analytics
• Latest news and developments

4.3 Industrial Construction

• Outlook
• Project analytics
• Latest news and developments

4.4 Infrastructure Construction

• Outlook
• Project analytics
• Latest news and developments

4.5 Energy and Utilities Construction

• Outlook
• Project analytics
• Latest news and developments

4.6 Institutional Construction

• Outlook
• Project analytics
• Latest news and developments

4.7 Residential Construction

• Outlook
• Project analytics
• Latest news and developments

5 Key Industry Participants

5.1 Contractors

5.2 Consultants

6 Construction Market Data

For more information about this report visit https://www.researchandmarkets.com/r/6xmyq1

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