New Capital Expenditure Rises 1.0%: Australia

Private new capital expenditure (capex) rose 1.0 per cent in the March quarter 2024 to be 5.5 per cent higher than a year ago in seasonally adjusted, chain volume measures, according to figures released today by the Australian Bureau of Statistics (ABS).

Robert Ewing, ABS head of business statistics, said: “Business investment grew in the non-mining industries in the March quarter, rising 3.3 per cent. This was partly offset by a fall in mining capex, which was down 4.7 per cent.

“Transport, postal and warehousing saw the largest rise of any industry, up 15.8 per cent. This was from more investment in vehicles and ongoing investment connected to large infrastructure projects.”

New equipment and machinery capex rose by 3.3 per cent, with non‑mining industries growing by 4.6 per cent, offset by mining falling 3.2 per cent.

Building and equipment capex, seasonally adjusted and trend

Building – Seasonal Building – Trend Equipment – Seasonal Equipment – Trend
Mar-047,5427,8529,79810,093
Jun-048,2728,04510,10210,255
Sep-048,2598,30610,43210,679
Dec-048,5158,62611,77811,118
Mar-059,3519,21810,99411,410
Jun-059,88510,17811,79811,815
Sep-0511,51511,22312,37212,537
Dec-0512,61112,34913,55913,219
Mar-0613,00813,32913,47313,384
Jun-0614,38013,65012,94513,219
Sep-0613,39613,47313,17513,026
Dec-0612,66713,42413,05313,149
Mar-0715,52015,16713,58313,684
Jun-0716,31315,73114,27414,041
Sep-0715,31816,07114,27814,344
Dec-0716,50516,17214,65314,688
Mar-0816,67116,32015,06315,293
Jun-0816,29616,94016,10815,917
Sep-0817,99518,30216,37416,086
Dec-0820,49819,39615,63615,873
Mar-0919,21919,47915,36415,444
Jun-0918,82318,49615,64815,393
Sep-0917,03317,62814,99315,696
Dec-0917,51417,49416,66915,911
Mar-1018,43818,11215,56815,589
Jun-1018,55919,08414,97114,989
Sep-1020,71719,93414,26914,845
Dec-1020,46420,76915,76915,504
Mar-1122,19622,43816,60716,348
Jun-1124,39224,91816,71316,944
Sep-1129,25827,95517,31417,201
Dec-1129,61630,93717,36617,340
Mar-1233,75233,26117,40417,442
Jun-1235,12034,37417,42717,612
Sep-1233,71534,15117,90417,750
Dec-1233,10133,04017,79117,604
Mar-1332,28832,70016,95817,222
Jun-1332,96133,17816,66716,613
Sep-1334,37233,59316,27015,975
Dec-1333,38033,57314,95515,336
Mar-1431,76733,20815,23115,014
Jun-1433,19832,93314,82515,229
Sep-1432,44332,41016,00915,690
Dec-1431,51931,22615,89515,879
Mar-1529,07429,44915,64415,540
Jun-1528,17827,89814,86614,844
Sep-1525,40626,20514,04914,352
Dec-1525,99625,10314,36514,258
Mar-1623,51923,40414,43014,447
Jun-1621,09321,52514,68914,576
Sep-1620,08520,25714,48414,498
Dec-1620,18220,08414,35014,366
Mar-1720,50920,39614,26414,309
Jun-1720,62820,73614,45014,423
Sep-1721,02420,90314,68414,735
Dec-1720,90020,87015,06715,075
Mar-1820,54720,59915,63915,440
Jun-1820,32420,25915,43715,802
Sep-1819,80120,02016,42816,098
Dec-1820,36020,13116,18716,310
Mar-1919,82819,80516,32016,346
Jun-1919,15019,42916,34916,221
Sep-1919,32819,04015,92316,071
Dec-1918,45418,61715,95315,814
Mar-2018,25917,98815,61615,640
Jun-2017,27117,27014,17215,690
Sep-2016,69316,82314,27015,969
Dec-2016,77916,89015,35416,359
Mar-2117,44917,42516,64716,625
Jun-2118,25518,06316,74216,724
Sep-2118,39718,56616,74016,758
Dec-2118,90118,79116,79716,828
Mar-2218,94118,76816,92216,952
Jun-2218,54018,75417,18717,054
Sep-2218,90719,01017,10317,169
Dec-2219,79719,71717,29517,420
Mar-2320,49120,55417,87717,807
Jun-2321,38621,18118,25318,147
Sep-2321,36621,45718,35018,368
Dec-2321,65321,55018,42918,593
Mar-2421,44921,53819,03818,861

“Expanded investment in data centres contributed to a large rise in equipment and machinery capex for the information media and telecommunications industry, up 60.6 per cent.

New building and structures capex fell by 0.9 per cent.

“Mining drove the fall in new investment in building and structures, which was down 5.2 per cent. There was reduced spending on major iron ore projects and LNG projects during the quarter,” Mr Ewing said.

Queensland had the largest rise of the states and territories, up 5.9 per cent in the March quarter. The biggest fall was in Western Australia, down 6.7 per cent, reflecting the fall in mining capex.

Figures released today also include updated expectations of planned capex for the financial year. Businesses revised up their expected capex spend for 2023-24 by 2.5 per cent (in current prices) since the last estimate three months ago.

This release also includes the second estimate for planned capex for 2024-25. This rose 6.8 per cent compared to the first estimate three months ago.

“The rise in planned capital investment shows that businesses expect continued growth in new capital expenditure for the remainder of this financial year and the year ahead.

“The information media and telecommunications industry was the stand-out, with an extraordinarily large rise in expected capex from further planned investment in new data centres.

“The electricity, gas, water, and waste services industry also expect a big rise from planned investment in renewable energy infrastructure,” Mr Ewing said.

/ABS Public Release. View in full here.