The national construction industry returned to growth in June, seeing its highest rate of expansion in 10 months. The expansion was driven by growth in employment, new orders, and residential construction growth.
The Australian Industry Group/Housing Industry Association Australian Performance of Construction Index (Australian PCI®) increased 6.5 points to 53.2 (readings above 50 indicate expansion in activity, with the distance from 50 indicating the strength of the increase).
Ai Group Head of Policy, Peter Burn, said: “The construction sector hit a sweet spot in June with the bounce in the Australian PCI® driven by growth across all of the sub-sectors and with solid gains in activity, employment and new orders."
HIA Chief Economist, Harley Dale, said: “The results serve as a reminder that new residential construction remains the powerhouse of the domestic Australian economy."
"The latest Australian PCI® update highlights the importance of the construction industry to the Australian economy and the results are consistent with our outlook for both residential and non-residential construction activity,” Dr Dale said.