Editorial | Mainland Chinese standards for building materials worth considering
As long as safety and quality are not undermined, there is every reason for Hong Kong to save on construction costs by using items from the mainland
Buildings shoot up incredibly fast in Hong Kong, but the city also has a reputation for construction costs outpacing all but eight cities around the world and anywhere else in Asia. Fresh efforts to save money by adopting mainland China standards for materials deserve support, as long as safety and quality remain priorities.
Builders have long been required to use British and European Union standards for most projects in the city. Godfrey Leung King-kwok, executive director of the Hong Kong Construction Association, says transport fees for items, mainly sourced from overseas, have driven up material costs. Even when mainland-standard materials have been approved for a project, builders now must reapply to use the same items for another project. Such rules do not apply to materials that meet UK or EU standards.
The International Construction Cost Index ranked Hong Kong ninth globally in 2024. The list compiled by the Arcadis consultancy firm had placed the city even higher in the past. It was among the world’s top three most expensive cities from 2016 to 2020.
Cost savings are urgently needed. Facing a deficit of nearly HK$100 billion for the current financial year, the Hong Kong government already plans to prioritise public works projects. Building costs are a factor in the city’s relatively high property prices, which in turn are a drag on many aspects of the economy.
The Development Bureau divides construction costs into four main categories including materials and equipment, machinery, risk premiums and labour. Paying workers incurs about 30 to 40 per cent of total costs.
Cost-cutting efforts must not, however, jeopardise worker welfare. Some crews have already gone unpaid and there has been an alarming rise in workplace accidents. The city’s struggle to ensure the maintenance of ageing structures also underscores a need to ensure quality in new construction.