Structural decline: Industry revenue has declined due to the completion of major projects

Firms in the Heavy Industry and Other Non-Building Construction industry provide skilled engineering construction and project management services on a diverse range of infrastructure projects for public and private sector clients. Industry activity surged to a peak in 2013-14, fuelled by unprecedented investment in most infrastructure markets. This strong performance was particularly due to the private investment boom in mining and energy projects, such as the construction of liquefied natural gas (LNG) processing plants, coal seam gas (CSG) fields and pipeline developments.Reduced investment in mining and energy developments due to project completions and weaker global commodity prices have negatively affected the industry's performance over the past five years...read more.

Industry Statistics & Market Size
Revenue
$38bn
Annual Growth 15-20
-12.0%
Forecast Growth 20-25
Profit
Employment
66,800
Businesses
7,190
Market Share of Companies

Industry Threats & Opportunities

  • Declining investment in mining and energy developments has contributed to falling industry revenue
  • Public investment in the NBN rollout and rail infrastructure has supported the industry
  • Work on large-scale transport and resource developments is forecast to support industry expansion
  • Industry Report - Starting a New Business Chapter

    New entrants are likely to encounter difficulties competing against the existing players in this industry, particularly those with proven capacity to undertake work of varying scale and complexity. Existing large-scale participants tend to have size and market dominance through networking and reputation that is likely to deter newcomers. The tendering process for public contracts tends to favour existing operators that have a proven track record and a good understanding of dealing with public authorities.Firms generally require accreditation for quality management (ISO 9000) and environmental management (ISO 14000), particularly for contracting to the public sector agencies and larger private corporations. Suc...purchase to read more.

    Additional Insights for the Heavy Industry and Other Non-Building Construction Industry

    IBISWorld has determined the most important Key Success Factors for the Heavy Industry and Other Non-Building Construction are:

  • Ability to compete on tender
  • Management of seasonal production
  • Ability to change which market the firm operates in
  • IBISWorld analysts also discuss how external factors such as Actual capital expenditure on mining and Private non-residential construction capital expenditure in the Heavy Industry and Other Non-Building Construction industry impact industry performance..

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    What's in this report

    What is the Heavy Industry and Other Non-Building Construction Industry?

    Industry companies primarily construct engineering projects or infrastructure, such as railways, dams, irrigation systems, harbour and river works, and water and gas supply systems. Projects also include oil refineries (excluding buildings); pipelines; on-site boiler assembly, furnaces or heavy electrical machinery from prefabricated components; and general repairs of such structures, machinery and equipment.

    Industry Products
  • Heavy industrial construction
  • Electricity infrastructure construction
  • Telecommunications infrastructure construction
  • Water and sewerage infrastructure construction
  • Transport infrastructure construction
  • Other construction
  • Industry Activities
  • Boiler, furnace and kiln construction
  • Transmission lines construction and cable laying
  • Electrical machinery installation
  • Harbour works, dredging, and canal, jetty or wharf construction
  • Water supply, dams, lakes, treatment plants and irrigation systems construction
  • Mineral and energy infrastructure construction
  • Pipeline construction
  • Railway construction
  • Sewerage treatment plant construction
  • Recreational infrastructure construction
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Actual capital expenditure on mining
  • Private non-residential construction capital expenditure
  • Capital expenditure by the public sector
  • Demand from electricity, gas, water and waste services
  • Demand from manufacturing
  • Population

  • Current Performance
  • Profit
  • Employment and enterprises
  • Downstream activity trends
  • Private and public sectors
  • Chart: Revenue Growth

  • Industry Outlook
  • Profit and participation trends
  • Major projects and markets
  • Table: Heavy Industry and Other Non-Building Construction Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Heavy Industry and Other Non-Building Construction Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Mining
  • Electricity, Gas, Water and Waste Services
  • Engineering Consulting
  • Telecommunications Services
  • Integrated Logistics

  • Key Selling Industries
  • Construction
  • Gravel and Sand Quarrying
  • Machinery and Scaffolding Rental
  • Professional, Scientific and Technical Services

  • Products & Services
  • Heavy industrial construction
  • Transport infrastructure construction
  • Electricity infrastructure construction
  • Other construction
  • Telecommunications infrastructure construction
  • Water and sewerage infrastructure construction
  • Chart: Heavy Industry and Other Non-Building Construction Industry Products and Services Segmentation

  • Demand Determinants
  • Long-term influences
  • Short- and medium-term influences

  • Major Markets
  • Mining and manufacturing companies
  • Railway and port authorities
  • Power generation authorities
  • Telecommunications carriers
  • Water and sewerage companies
  • Other markets
  • Chart: Major Market Segmentation for the Heavy Industry and Other Non-Building Construction Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Chart: Cost Structure Benchmarking – Sector vs Heavy Industry and Other Non-Building Construction

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Heavy Industry and Other Non-Building Construction Industry

  • Industry Globalization
    CIMIC Group Limited,
  • Table: CIMIC Group Limited - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Heavy Industry and Other Non-Building Construction Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Heavy Industry and Other Non-Building Construction Industry
    Includes:
  • Industry Revenue (2011-2025)
  • Industry Gross Product (2011-2025)
  • Establishments (2011-2025)
  • Businesses (2011-2025)
  • Employment (2011-2025)
  • Wages (2011-2025)
  • Wages (2011-2025)
  • Purchases (2011-2025)
  • Profit (2011-2025)
  • Depreciation (2011-2025)
  • Rent (2011-2025)
  • Utilities (2011-2025)
  • Other (2011-2025)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Csg
  • Coal seam gas (CSG) is a natural gas sourced from coal deposits at approximately 400 to 1000 metres underground.
  • Engineering Infrastructure Construction
  • Construction of all non-building structures excluding roads and bridges. This includes the construction of water, sewer, electric power and communications infrastructure.
  • Lng
  • Liquefied natural gas (LNG) is a natural gas that has been cooled and transformed into a liquid state for shipping and storage.
  • Public-Private Partnership (Ppp)
  • A contractual agreement between a public sector agency and a private company through which each party shares skills, assets and financial resources to deliver a service or facility for public use.
  • Renewable Energy
  • Energy that comes from natural resources and is naturally replenished, including solar, wind, tidal, and geothermal energy.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Heavy Industry and Other Non-Building Construction market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Heavy Industry and Other Non-Building Construction:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Heavy Industry and Other Non-Building Construction market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Heavy Industry and Other Non-Building Construction, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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