Accessing Australia-China Supply Chains by Australian Home Builders

Jinyun Liu, Toong Khuan Chan () and Hao Hu
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Jinyun Liu: Topgan Construction Pty. Ltd.
Toong Khuan Chan: University of Melbourne
Hao Hu: Shanghai Jiao Tong University

A chapter in Proceedings of the 25th International Symposium on Advancement of Construction Management and Real Estate, 2021, pp 439-449 from Springer

Abstract: Abstract Along with the development of international trade and the increasing benefits of global sourcing, the Australian construction industry has started sourcing more products overseas, especially from China. The potential of sourcing from China has been recognised since the middle 1980s and trade between China and Australia has increased significantly. This study aims to examine the trade in building products between China and Australia. The objectives are to identify the specific products that are imported from China for use in the residential building sector in Australia. Building products such as steel, windows, tiles, joinery and sanitary wares are often procured in large quantities from China for the residential sector. Using data from 4 case studies, we determine that the main motivation for Australian builders to purchase increasing quantities of products is the lower prices that can be obtained from suppliers in China leading to both higher profits for these builders and lower building costs for home buyers. We will also discuss the risks for offshore supply especially in light of the increasing trade tensions and the recent disruptions cause by the pandemic.

Keywords: Australia; Building products; International trade; Outsourcing (search for similar items in EconPapers)
Date: 2021
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DOI: 10.1007/978-981-16-3587-8_29

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