Australia Retail Investment 2024

Publication

Australia Industrial Spotlight on Manufacturing

The Australian industrial property sector is being propelled into a new era of growth and innovation as more businesses rapidly transition to green initiatives, a key pillar supporting the sector’s ongoing resilience.

In our latest Spotlight report, ''Is Manufacturing Making a Comeback?'', we delve into how this shift towards renewable energy, advanced manufacturing, and electric vehicle (EV) technologies is directly bolstering demand for industrial space across Australia, with manufacturing investments providing substantial downstream benefits.

The government's commitment to reducing carbon emissions by 2030, with a long-term goal of achieving net zero by 2050, is a pivotal driver of this transition. This transition includes the rapid electrification of sectors and the increasing need for renewables, EV batteries, and Energy Storage Systems (ESS), all of which are key components of this evolving landscape.

 While challenges exist in meeting net-zero targets, they also present lucrative opportunities for the industrial property sector. Our report explores the structural forces driving a potential manufacturing resurgence and their implications for industrial real estate in Australia, including:

  • The multiplier effect of manufacturing
  • The role of domestic capabilities in expanding industrial boundaries
  • The impact of batteries and EV infrastructure on industrial demand
  • Leveraging green energy incentives to stimulate manufacturing growth
  • The transformative effects of EVs and transport decarbonisation
  • How increased activity will add to industrial floorspace demand in Australia.

 Read our Industrial Manufacturing Report Here.