The AIG/HIA Australian Performance of Construction Index fell to 42.6 in September from 44.6 in the previous month. It was the thirteenth consecutive month of contraction, as overall industry activity dropped 3.7 points to 39.1, new orders decreased 1.1 points to 42.2 and supplier deliveries slumped 4.2 points to 44.3. In contrast, employment rose 0.4 points to 46.2. On the price front, input costs fell 4.2 points to 65.0 while output prices advanced 3.8 points to 41.0. By sector, apartment building contracted for a eighteenth straight month and at a steeper pace while both commercial and engineering construction declined in September. Construction Pmi in Australia averaged 46.25 Index Points from 2005 until 2019, reaching an all time high of 60.50 Index Points in July of 2017 and a record low of 29.24 Index Points in December of 2008.
Construction Pmi in Australia is expected to be 44.00 Index Points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Construction Pmi in Australia to stand at 49.30 in 12 months time. In the long-term, the Australia Construction PMI is projected to trend around 52.00 Index Points in 2020, according to our econometric models.