TAIPEI (Taiwan News) — Taiwan’s top 10 construction companies reported a 4% drop in sales in 2024 compared to the previous year of approximately NT$754.1 billion (US$22.8 billion), according to rental website 591.
However, the total number of projects and housing units launched by the top 10 companies last year reached new historical highs, with 154 projects and 34,700 units. This marked year-on-year growth of 46.7% and 20.9%, respectively, per CNA.
A shift in dominance occurred last year, moving away from north Taiwan. Builders from Taichung, such as Fu Yu Construction, Lien Jade Construction, and Fong Yi Construction, gained prominence.
Pao Jar Group regained its top position, with nearly 50 projects in north Taiwan, including New Taipei, Taoyuan, and Hsinchu, contributing over NT$110 billion in project value, and approximately 8,500 housing units. By comparison, its projects in central and south Taiwan accounted for less than NT$70 billion, and 4,700 units.
Many projects are expected to be delayed early this year due to the Central Bank's seventh round of credit control measures introduced in September. If the Central Bank does not relax its stance in the second half of the year, optimism in the housing market may wane, potentially slowing project launches.
The credit-control includes four key measures aimed at curbing housing speculation. It followed the rise in housing prices and transaction volumes triggered by the “Preferential Housing Loans for the Youth” program launched in August 2023, which also supported the construction market last year.
The initiative allows individuals to apply through government-owned banks. In addition to offering extra government interest subsidies, the program also extends the mortgage term and grace period, easing the financial burden on those purchasing homes for personal use.
Supported by record-high stock market performance and policies like “Preferential Housing Loans for the Youth,” developers expanded their projects. Highwealth Construction, Fu Yu Construction and Cathay Real Estate Development reached new highs in their project volumes.
However, the Central Bank's property speculation measures and restrictions on land and construction financing tightened market liquidity in the latter half of the year, impacting the pace of real estate development.
The top 10 construction companies in 2024, ranked by total sales, were:
- Pao Jar Group
- Highwealth Construction
- Fu Yu Construction
- Cathay Real Estate Development
- Yuanlih Group
- ChungYuet Group
- Farglory Land Development
- JSL Construction & Development
- Lien Jade Construction
- Fong Yi Construction
