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The total gross value of construction works performed by main contractors in the second quarter of 2010 increased by 7.3% in nominal terms over a year earlier to $28.0 billion, according to the provisional results of the Quarterly Survey of Construction Output released today (September 13) by the Census and Statistics Department (C&SD).
After discounting the effect of price changes, the total gross value of construction works performed by main contractors increased by 4.6% in real terms over the same period.
Gross value of construction works in real terms is derived by deflating the corresponding nominal value with an appropriate price index to the price level in the base period of 2000.
Analysed by type of construction works, the gross value of construction works performed at private sector sites totalled $9.2 billion in the second quarter of 2010, up by 1.5% in nominal terms over a year earlier. In real terms, it increased by 2.2%. In general, the increase in the gross value of construction works was mainly contributed by private commercial building projects.
The gross value of construction works performed at public sector sites increased by 43.7% in nominal terms to $6.7 billion in the second quarter of 2010. In real terms, it increased by 37.3%.
The gross value of construction works performed by main contractors at locations other than construction sites amounted to $12.2 billion in the second quarter of 2010, down by 2.1% in nominal terms compared with a year earlier. In real terms, it decreased by 5.5%. Construction works at locations other than construction sites included minor new construction activities and decoration, repair and maintenance for buildings; and electrical equipment installation and maintenance works at locations other than construction sites.
Analysed by end-use group, residential building projects accounted for the largest share in the total gross value of construction works performed at construction sites in the second quarter of 2010. The gross value of construction works performed in respect of these projects amounted to $6.4 billion, down by 3.8% in nominal terms compared with a year earlier.
Commercial building projects constituted the second largest group of construction site works. The gross value of construction works performed in respect of these projects totalled $2.4 billion, up by 29.3% in nominal terms over a year earlier.
On a seasonally adjusted quarter-to-quarter basis, the total gross value of construction works performed by main contractors increased by 9.3% in nominal terms or 11.1% in real terms in the second quarter of 2010 compared with the first quarter of 2010.
Table 1 shows the gross value of construction works performed by main contractors in the second quarter of 2010 and Table 2 shows the revised figures for the first quarter of 2010.
Owing to the widespread sub-contracting practices in the construction industry, a construction establishment can be a main contractor for one contract and a sub-contractor for another contract at the same time. The gross value of construction works performed by main contractors covers only those projects in which the construction establishment takes the role of a main contractor, but not projects in which it takes only the role of a sub-contractor. Nevertheless, sub-contractors' contribution to projects should have been included in the gross value of construction works performed by main contractors for whom they worked.
The classification of construction establishments follows the Hong Kong Standard Industrial Classification (HSIC), which is used in various economic surveys for classifying economic units into different industry classes. Upon the implementation of the new HSIC Version 2.0 by the C&SD in October 2008, the Quarterly Survey of Construction Output has adopted the HSIC Version 2.0 in compiling the construction output statistics. However, the changeover does not have any significant effect on the classification for compiling the construction output statistics. The construction output statistics compiled based on the HSIC Version 2.0 as from the first quarter of 2009 are thus comparable with the data series prior to 2009.
More detailed statistics are given in the "Report on the Quarterly Survey of Construction Output, 2nd Quarter 2010". Users can download this publication free of charge at the website of the Census and Statistics Department (C&SD) (www.censtatd.gov.hk/products_and_services/products/publications/statistical_report/commerce_and_industry/index.jsp).
For enquiries about the survey results, please contact the Construction and Miscellaneous Services Statistics Section of the C&SD (Telephone: 2805 6426 or email: building@censtatd.gov.hk).
Ends/Monday, September 13, 2010
Issued at HKT 16:32
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