Hong Kong construction output up 4.8% YoY in Q3

Public sector construction increased 29.8% to $30.4b nominally.

The total gross value of construction works (GVCW) by main contractors rose 4.8% year-on-year to $73.1b in the third quarter of 2024, according to the Census and Statistics Department (C&SD). After adjusting for inflation, the increase was 3.8% in real terms.

Private sector construction dropped 9.2% to $20.2b in nominal terms and fell 11.2% in real terms. Public sector construction increased 29.8% to $30.4b nominally and 30.8% in real terms. Construction at locations other than sites, such as minor works, repairs, and electrical installations, declined 6.6% nominally and 7.0% in real terms to $22.5b.

GVCW related to residential buildings stood at $19.9b, a 5.1% rise in nominal terms. Works related to transport infrastructure also saw an increase, rising by 10.5% to reach $10.8b.

On a seasonally adjusted basis, GVCW performed by main contractors rose by 2.3% in nominal terms and 1.8% in real terms from the second to the third quarter of 2024.

The report also noted that due to the prevalence of subcontracting in the industry, the data only includes projects where the establishment acts as a main contractor, excluding subcontracting contributions, which are included in the overall GVCW performed for those main contractors.