International construction market survey 2021 now available

Turner & Townsend’s International construction market survey 2021 has now been published.  Now in its 12th year, this latest International construction market survey brings together data and knowledge from 90 global markets. It aims to provide insights into the key challenges, opportunities and general direction of travel for the global construction industry.

COVID-19 has caused seismic disruption to business, trade, supply chains and staff. Now, the combined impact of countries’ differing strategies to cope with the pandemic is causing a reconfiguration of the entire global economic landscape. The extent and pace of change over the past 18 months is unprecedented in recent times.

The global economy contracted by -3.3 percent in 2020, according to the International Monetary Fund (IMF), as COVID-19 forced economic activity to halt. But as of mid-2021, recovery was well underway, despite significant uncertainties remaining. The IMF is forecasting 6.0 percent growth for 2021 led by India, China and the United States – all increasing substantially, by 12.5, 8.4 and 6.4 percent respectively.

Construction activity continues to be heavily influenced by governments’ response and handling of the COVID-19 pandemic, which is shaping an uneven recovery across the industry. Traditional growth sectors are waning, with COVID-19 accelerating growth in emerging sectors. Rising costs of construction, supply chain disruption and skilled labour shortages, however, are quickly becoming the biggest barriers to industry growth.

Many construction markets have seen a marked increase in activity levels in 2021 as the global economy continues to recover. This year’s survey paints an optimistic, yet cautious, picture for the construction industry. As activity accelerates, supply chain constraints are build increasing and skills shortages are worsening, resulting in substantial construction cost inflation in many markets.

The top ten most expensive cities to build in came is as follows:
1.   Tokyo
2.   Hong Kong
3.   San Franscisco
4.   New York
5.   Geneva
6.   Zurich
7.   Boston
8.   London
9.   Los Angeles
10. Macau

Australian and New Zealand cities rankings:

30.  Auckland
42.  Christchurch
43.  Sydney
45.  Melbourne
51.  Brisbane
53.  Perth
54.  Adelaide

To get your copy of Turner & Townsend‘s International construction market survey 2021, click here