Navigating the Future: Hong Kong Construction Outlook 2024

In the dynamic landscape of Hong Kong's construction industry, several challenges loom large on the horizon. An aging workforce, soaring construction costs, and public demands for swift and efficient outcomes are key hurdles to overcome. Equally pressing concerns include site safety and the vital need to cultivate a younger talent pool for sustainable growth.

However, amid these challenges lies a silver lining – the positive changes outlined in the recent Hong Kong 2023 Policy. This policy sets the stage for transformative opportunities, paving the way for innovation to shape the desired future of the construction sector.

Hong Kong's vision: Building for tomorrow

Building on the momentum set by the Hong Kong government's 2023 Policy highlights, the construction and built environment sectors are poised for transformative growth.

With a strategic focus on digitalisation and decarbonisation, Hong Kong aims to revolutionise infrastructure development, paving the way for a greener, more sustainable future.

To tackle multiple opportunities for growth, policymakers have particularly high hopes for the success of the ambitious Greater Bay Area plan, which aims to rival other bay area performance using a blend of market advantages, with the co-operation of the Guangdong province.

The plan is set to yield increased capital investment, attract overseas talent and promote technological innovation.

Green building: Shaping the future landscape

Hong Kong is a premier hub for green finance, with multiple leveraging opportunities brought by the rising trend of smart green buildings.

This potential rides on its traditional strengths in construction, world-class R&D facilities, a vibrant financial ecosystem, its mature certification system and strong support from policymakers to introduce issue mandates, guidelines and incentives for green building and smart technologies.

One such government initiative to reduce emissions and drive sustainable building performance is BEAM Plus, which is already saving over 700,000 MWh of electricity each year.

If its strengths are leveraged correctly, Hong Kong could lead the exploration of such innovative design practices, materials and technologies to reduce environmental impact - and how projects can achieve WCLA (Whole Life Carbon Assessment) and contribute to Hong Kong’s journey toward carbon neutrality.

ESG integration: From vision to reality

Trends in global attitudes, stakeholder expectations, proxy voting trends and shareholder activism in Environmental, Social and Governance (ESG) issues are expected to continue in Hong Kong, putting ESG considerations at the very centre of project development.

Stakeholders can learn how to proactively respond to new and evolving climate reporting standards, including by recognising essential ESG activities and sustainability practices throughout the property lifecycle.

Hong Kong is poised to lead global sustainable economic transition. Understand the economic rationale for a low-carbon future in the industry at the Hong Kong Construction Conference 2024.

Addressing the labour shortage: A collaborative approach

To address the pressing issue of skilled labour shortages in Hong Kong’s construction industry, the government has stepped up efforts to revive admission of talent and support technology start-ups, as part of a growing resolve to overcome challenges.

Still, the manpower shortage calls for collaborative solutions that leverage technology, training programs and workforce development initiatives.

Opportunities in research, development and innovation will be vital to overcoming the labour shortage, while ensuring safety enhancement and efficiency in project execution.

Driving efficiency through innovation

Due to its pioneering and piloting of vital construction technologies, Hong Kong is well placed to unlock great potential in AI and automation in its quest to tackle real sector challenges.

To boost productivity, efficiency and reduce material waste, the government invested over $3.9 million in Building Information Modelling (BIM) in 2018 and has since continued to promote automation technology to the construction sector.

Such initiatives have employed BIM use for low/zero carbon design, green building materials and employing automation and management systems.

Real-time monitoring and management of urban construction projects through use of digital twins technology has also become a standard practice since it was piloted in the Tung Chung New Town Extension (TCNTE).

Another example is the ConTech Accelerator, which serves as Hong Kong’s foremost platform for integrating technology start-ups and established companies, fostering collaboration to improve safety, sustainability and productivity in the construction sector.

Learn from industry experts, explore case studies and discover how emerging technologies can unlock new possibilities. Register your place at the Hong Kong Construction Conference 2024.

Embracing construction digitalisation

The paradigm shift towards construction digitalisation is set to redefine the entire life

cycle of projects. From project planning to asset management, digital tools and platforms are offering unparalleled opportunities for efficiency improvement and value creation across construction.

One such example is Modular Integrated Construction (MiC), which stands as a beacon of progress in Hong Kong’s construction sector, especially for optimising cost structures, with the ability to save 10% in future building costs.

Hong Kong’s continued adoption of digital tools and approaches by the sector will be critical in delivering and retrofitting buildings and infrastructure assets – that will provide social value, support its net zero agenda and provide value for money for all project sponsors.

Join us at the Hong Kong Construction Conference 2024

As Hong Kong's construction market continues to evolve, the opportunities for innovation and growth are boundless. The Hong Kong Construction Conference 2024 offers a unique platform to explore the latest trends, connect with industry leaders and unlock new possibilities for success.

Whether you're a seasoned professional or a budding entrepreneur, this conference is your gateway to the future of construction in Hong Kong and beyond. Don't miss out on this transformative event – register today and be part of the conversation shaping tomorrow's built environment.