Axis Capital Group Singapore Forum Axis Capital Group Constructio..
Axis Capital Group Construction Updates8 Years AgoJakarta, Indonesia – Axis Capital Group,
a construction company based in Singapore, reviews and brings you
updates on the current status of the construction industry in Asia.
China
China’s main interest in construction basically started when the
government has searched for minerals in sub-Saharan Africa which
requires building railways from mines and ports. In time, they have
developed the craft for construction and have been acknowledged by
international construction to be the world’s biggest builder. China’s
construction is commended for finishing projects on time.
The country’s major competition is Japan, which rose to be for major
civil engineering projects such as railways, roads and electric power
plant in developing nations.
Meanwhile, China announced that same month the launch of the Asian
Infrastructure Investment Bank by the end of 2015, involving 20
Southeast Asian and Middle Eastern countries. Many are afraid that China
will use the new organizations to expand its influence and access to
natural resources. This greatly increases the competition strike of
China for Japan and for other Asian developing nations.
Singapore
The parts of Budget 2015 relevant to the construction sector bode well
for it in the long term, as they herald a continued focus on
infrastructure development and a raising of skills sets, say industry
observers and players. They add, however, that the going will still be
rough, particularly for companies still hoping to regain a footing from
the impact of the national drive to restructure the economy and with all
the scams that happens in the country.
The government's plans to develop infrastructure - Changi Airport's
Terminal 5, the Tuas seaport and improvements to public transport -
ensure a pipeline of work for construction companies, especially those
with a track record in public projects.
Vietnam
The Vietnam government is set to invest US$12.2 billion or VND193.6
trillion in construction projects for the implementation by subsidiary
units. The ministry said it would focus on investing in and operating
key projects relating to hydroelectric power, the development of urban
and industrial areas, traffic and infrastructure.
Thailand
The Thai construction industry registered a compound annual growth rate
(CAGR) of 6.03% during the review period (2009–2013). This growth was
supported by public and private investments in Thai residential,
infrastructural and commercial construction projects. The introduction
of Real Estate Investment Trust (REIT) in January 2013 also helped to
boost the country's construction activities. Political and social
uncertainties are expected to lead to comparatively moderate growth
rates over the forecast period (2014 - 2018) when compared with the
review period. The construction industry's output is expected to grow at
a forecast-period CAGR of 3.19%, supported by the government
investments in infrastructure development, with an aim to become the
regional hub of the proposed ASEAN Economic Council (AEC) in 2015.
Indonesia
Government of Indonesia is committed to maintain the momentum of
investment friendly environment and is exploring all options in
encouraging private as well as community participation in infrastructure
(create championship, eliminate flip flop policy). The Jakarta Mass
Rapid Transportation project is expected to stretch across over 108
kilometers, including 21.7 kilometers for the north-south corridor (from
Lebak Bulus to Kampung Bandan) and 87 kilometers for east-west corridor
(from Balaraja to Cikarang).
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