A notable 80.5 percent of enterprises observed that the number of new construction contracts in Q3 increased or remained unchanged compared to Q2, with 28.5 percent citing increases and 52 percent reporting stability. Only 19.5 percent of businesses reported a decline in new contracts.
Despite these positive indicators, construction operations face continued headwinds. In Q3, 65 percent of firms cited high material prices as the primary operational challenge, while 39.7 percent struggled with a lack of new construction contracts.
Input factors also imposed significant constraints on corporate performance. On capital accessibility, 25.5 percent of enterprises reported difficulties arising from delayed settlement of outstanding capital construction debts, while 22.2 percent faced working capital shortages. Delayed payments created severe cash flow pressures, restricting corporate capital turnover.
Labor constraints also posed challenges, with 22.9 percent of businesses reporting difficulties in recruiting qualified workers. Demand for skilled and experienced construction labor is rising, whereas the suitable labor pool remains constrained by skill mismatches.
Material supply chains presented further operational hurdles, as 24.1 percent of surveyed firms experienced supply shortages. The shortfall stemmed primarily from volatile material prices, restricted extraction allowances, prolonged licensing procedures, rising transportation costs, and logistics disruptions.
In addition, 26.1 percent of firms encountered adverse weather conditions; 18.7 percent faced cumbersome administrative procedures; 16.2 percent experienced site clearance delays; and 11.5 percent lacked bidding information, which limited access to new contracts.
These survey findings mirror operational bottlenecks reported across major national projects.
At the first meeting of the Steering Committee for Key National Infrastructure Projects, the Ministry of Industry and Trade reported that average construction material prices surged 18 to 20 percent, compared to project contingency reserves averaging around 10 percent. Furthermore, while theoretical reserves remain sufficient, daily actual supply capacity reaches only around 30 percent, hampering execution schedules.
To mitigate operational bottlenecks, construction contractors recommended targeted support measures from central and local authorities.
Specifically, 61.8 percent of enterprises requested support for construction material supply and price stabilization; 42.8 percent urged capital support through preferential loans, interest rate reductions, and simplified borrowing procedures; and 38.4 percent called for greater transparency in bidding information.
Furthermore, 35.6 percent of firms recommended cutting administrative procedures and shortening processing times; 28.3 percent proposed stricter sanctions against delayed debt settlements; and 26 percent advocated for timely site handovers to meet contract schedules.
Looking ahead to the last quarter of this year, construction firms anticipate stable operational trends without major disruptions relative to Q3. Specifically, 28.1 percent of businesses expect conditions to improve; 44.7 percent project stable operations; and 27.2 percent anticipate ongoing challenges.
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