China prefab to grow in Australia Thursday, 22 February 2018

Civil engineers should be aware that one of China’s biggest construction giants, China Wu Yi, is quietly slipping in through Australia’s backdoor via Perth and is set to make more than a splash in the local market.

China Wu Yi, has a reported income of AU$502 million with AU$2.1 billion in assets, and has been ranked among the top 250 international construction contractors worldwide by Engineering News-Record. It already operates in more than 30 countries across Asia, Europe, Africa, the Middle East, and North America, but is only now setting foot in our antipodean region.

Enter Wu Yi Doric, a construction contractor with the financial muscle of China Wu Yi behind it, headquartered in Perth. The independent 50:50-owned company with WA-based construction company, Doric, is the result of the Asian giant being encouraged to seek out a mutually beneficial partnership in Australia under China’s Belt and Road Initiative. Doric has been operating in Western Australia for close to 30 years and will be able to fulfil its ambitions to expand nationally and beyond.

The chairman of China Wu Yi, Qiu Liang Xin, told the Australia China Business Review that the joint venture with Doric “will further their co-operation to instil new power into the construction industry, with new technology and concepts”.

In addition to being a major projects construction firm, China Wu Yi is a large-scale manufacturer of building products, specialising in prefabrication across six factories. Mr Qiu said this technology had the potential to transform the Australian construction market. And by extension, locally there will be an increase in work available.

China Wu Yi has already established Australian subsidiaries to create projects in Sydney and Perth, with Wu Yi Doric as preferred contractor on both. If the projects go well, the parent company is looking at setting up a local prefabrication facility and revealed its entry into the Australian market is a long-term strategy.

Civil engineer, Vince Mulholland, CEO of Doric, said he expected Wu Yi Doric to make a significant impact in the local construction sector that will bring cost savings. And he says the client interest is there.

 

Image: The Red Earth Arts Precinct in Karratha is due for completion in April. WA. Source: Wu Yi Doric.