{"id":345883,"date":"2026-03-24T20:37:11","date_gmt":"2026-03-24T20:37:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/345883\/"},"modified":"2026-03-24T20:37:11","modified_gmt":"2026-03-24T20:37:11","slug":"construction-slump-deepens-as-new-zealands-crane-index-falls-to-lowest-level-since-2016","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/345883\/","title":{"rendered":"Construction slump deepens as New Zealand\u2019s crane index falls to lowest level since 2016"},"content":{"rendered":"<p class=\"LolVegRJp\" style=\"display:none\">\u201cThe drop reflects the completion of several major projects, including aged care developments in Auckland and the removal of cranes from One New Zealand Stadium (Te Kaha) in Christchurch.\u201d<\/p>\n<p><img  alt=\"Bradley Coley of RLB, which releases regular studies on the number of high-rise fixed and crawler cranes in New Zealand. Photo \/ RLB\" class=\"article-media__image responsively-lazy\" data-test-ui=\"article-media__image\"\/>Bradley Coley of RLB, which releases regular studies on the number of high-rise fixed and crawler cranes in New Zealand. Photo \/ RLB<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">Despite the downturn, the market may be nearing the bottom of the cycle, Coley said.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">\u201cWhile construction activity remains subdued, we are moving along the bottom of the cycle. Lower interest rates and population growth are expected to support a gradual recovery,\u201d he said.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">Last week\u2019s gross domestic product (GDP) <a href=\"https:\/\/www.nzherald.co.nz\/business\/gdp-nzs-economic-performance-to-be-revealed\/YSMSU6PS4RGJHBO4NJ7PON7O5Q\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.nzherald.co.nz\/business\/gdp-nzs-economic-performance-to-be-revealed\/YSMSU6PS4RGJHBO4NJ7PON7O5Q\/\">result<\/a> showed construction was the worst-performing sector, down 1.4% in the three months to December 31, 2025.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">Construction was the largest contributor to GDP in the quarter.<\/p>\n<p><img  alt=\"Crane numbers are down. Photo \/ Ross Setford\" class=\"article-media__image responsively-lazy\" data-test-ui=\"article-media__image\"\/>Crane numbers are down. Photo \/ Ross Setford<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">\u201cThe volume of building work put in place, a key input into how Stats NZ measures GDP, fell 3.1% in the December 2025 quarter,\u201d <a href=\"https:\/\/www.nzherald.co.nz\/topic\/statistics-nz\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.nzherald.co.nz\/topic\/statistics-nz\/\">Stats NZ<\/a> general manager and macroeconomic spokesman Jason Attewell said.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">\u201cThis was driven by a decrease in non-residential building activity.\u201d<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">RLB studies crane numbers in main centres. Auckland has more than half the national crane total, although the city recorded a slight decline in the latest quarter.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">There are:<\/p>\n<p>58 cranes in Auckland;14 cranes in Tauranga, 11 cranes in Queenstown;Eight cranes in Christchurch;Four cranes in Wellington and four in Hamilton;Three cranes in Dunedin.<img  alt=\"GV Simplicity Living's 297-unit rental project  Te Reiputa on the Mt Wellington Highway, Auckland. Photo \/ Michael Craig\" class=\"article-media__image responsively-lazy\" data-test-ui=\"article-media__image\"\/>GV Simplicity Living&#8217;s 297-unit rental project  Te Reiputa on the Mt Wellington Highway, Auckland. Photo \/ Michael Craig<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">Activity in the residential sector continued to be supported by an ongoing development pipeline, including new contributions from Simplicity Living.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">Simplicity erected two tower cranes at its Morningside project.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">Tier-two contractors Kalmar Construction and CMP Construction continue to lead crane activity, while tier-one contractors remain at historically low levels of work.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\"><a href=\"https:\/\/www.nzherald.co.nz\/topic\/christchurch\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.nzherald.co.nz\/topic\/christchurch\/\">Christchurch<\/a> had the biggest drop, down 15 cranes, following the completion of major projects.<\/p>\n<p><img  alt=\"Christchurch's new Te Kaha, where cranes once dominated. Photo \/ Smith Crane &amp; Construction\" class=\"article-media__image responsively-lazy\" data-test-ui=\"article-media__image\"\/>Christchurch&#8217;s new Te Kaha, where cranes once dominated. Photo \/ Smith Crane &amp; Construction<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">Dunedin and Hamilton had modest gains. <\/p>\n<p class=\"LolVegRJp\" style=\"display:none\"><a href=\"https:\/\/www.nzherald.co.nz\/topic\/tauranga\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.nzherald.co.nz\/topic\/tauranga\/\">Tauranga<\/a> remained stable while Wellington and Queenstown now have fewer cranes.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">There have been 56 cranes removed from sites during the quarter, while 42 new cranes were installed, highlighting a lack of replacement projects entering construction.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">Coley said: \u201cA key challenge for the industry is the limited pipeline of committed projects.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">\u201cCommitment beyond the design stage remains a major issue for the market, and even where projects do proceed, they are unlikely to reach construction in the near term.\u201d<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">The total volume of building work last year fell 8.5% to $28.2 billion.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">Tier-one contractors continue to report historically low levels of crane activity and limited new opportunities.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\">Coley said that was reflecting cautious market conditions and delayed project commitments across both the public and private sectors.<\/p>\n<p class=\"LolVegRJp\" style=\"display:none\"><a href=\"https:\/\/www.nzherald.co.nz\/author\/anne-gibson\/\" rel=\"nofollow noopener\" title=\"https:\/\/www.nzherald.co.nz\/author\/anne-gibson\/\" target=\"_blank\">Anne Gibson<\/a> has been the Herald\u2019s property editor for 26 years, written books and covered property extensively here and overseas.<\/p>\n<p>Stay ahead with the latest market moves, corporate updates, and economic insights by subscribing to our <a href=\"https:\/\/www.nzherald.co.nz\/my-account\/profile\/newsletters\/?from=cmp\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.nzherald.co.nz\/my-account\/profile\/newsletters\/?from=cmp\">Business newsletter<\/a> \u2013 your essential weekly round-up of all the business news you need.<\/p>\n","protected":false},"excerpt":{"rendered":"\u201cThe drop reflects the completion of several major projects, including aged care developments in Auckland and the removal&hellip;\n","protected":false},"author":2,"featured_media":345884,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[31863,19190,806,138,1568,36173,101116,85381,184182,154296,184183,9961,38402,10668,219,163756,15248,8498,23502,13986,25449,48425,33091,2061,117,111,139,4061,69,7811,184184,8603,1361,61,2963],"class_list":["post-345883","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-31863","tag-affects","tag-as","tag-business","tag-construction","tag-continuing","tag-crane","tag-cranes","tag-crawler","tag-deepens","tag-demonstrating","tag-downturn","tag-drop","tag-economic","tag-economy","tag-embedded","tag-falls","tag-fixed","tag-highrise","tag-index","tag-level","tag-longterm","tag-lowest","tag-nature","tag-new","tag-new-zealand","tag-newzealand","tag-number","tag-nz","tag-since","tag-skylines","tag-slump","tag-that","tag-to","tag-zealands"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/345883","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=345883"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/345883\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/345884"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=345883"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=345883"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=345883"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}