Rising crane numbers point to tentative recovery in construction sector

Te Kaha Stadium in Christchurch under construction. Photo / Smith Crane & Construction

The construction sector is showing tentative signs of recovery as crane numbers rise across the country, according to new figures.

The twice-yearly Rider Levett Bucknall (RLB) Crane Index revealed the number of long-term cranes in operation across New Zealand’s seven major centres rose from 105 to 116 in the third quarter, when compared with the first quarter of the year.

“Cranes may be climbing, but they are doing so against a backdrop of economic uncertainty, cautious investment, rising unemployment, and declining migration,” said Vanessa Rader, head of research at Ray White Group.

“The long-term outlook remains positive, underpinned by a strong rural economy and the expectation of continued lower interest rates.

“For now, however, the recovery is uneven, and the skyline tells the story of a market showing tentative signs of revival.”

Auckland has the most cranes in operation with 59 – more than half the national total.

Te Kaha Stadium in Christchurch remains the largest single site in the country with 10 cranes in operation.

Christchurch added four cranes in the third quarter to reach 23.

Tauranga added three cranes in the quarter, taking its total to 14.

Meanwhile, Wellington dropped to a record-low five cranes, down from eight in Q1.

Dunedin recorded zero cranes for the first time since Q1 2021.

Overall, the national crane index rose 10.5% from 133 points to 147 points.

The non-residential index recovered after two consecutive declines, with long-term cranes increasing from 79 to 87.

“Net crane additions in data centres, industrial projects, aged care and hotels highlight areas of long-term investment linked to infrastructure demand, demographic shifts and tourism,” said Rader.

The residential index stabilised after bottoming out in Q3 2024. There are now 29 residential cranes across the seven main centres.

Civil cranes now total 26, accounting for 22.4% of the national total.

New Zealand’s record high for crane numbers is 157, set in the first quarter of 2023.

• Listen and subscribe to the Today in Business podcast – the top headlines from the NZ Herald business team summarised and delivered by an AI voice as an easily digestible recap.