Construction cost in HK could rise by up to 1%

Globally, construction costs are set to rise by up to 7%.

Hong Kong’s construction cost may see a slight increase of up to 1% this 2025 amidst global uncertainties, according to a Currie & Brown report.

Globally, construction costs are set to rise by up to 7% with India, United Arab Emirates, and Saudi Arabia seeing the highest increases.

The report said the boom in key sectors, such as digital infrastructure and renewable energy, offers growth opportunities. However, the industry will still face disruptions in supply chains.

Moreover, the lack of skilled workers across the construction industry globally will likely push up the cost of labour—especially in the renewable energy, digital infrastructure, and housing sectors.

The report proposes that the industry must adapt and flex, by adopting a more open-minded and collaborative approach. This may be achieved through creating more diverse supplier networks and contracts, for instance.

Further, companies should carefully consider the availability of labour in the planning stages of a new project and invest in training from the outset.

Lastly, the industry should make use of more granular data to stress-test new projects and radically improve the accuracy of cost analysis.