While global aggregate demand slumps, New Zealand’s sector saw a modest 4.4% recovery in 2024/25
New Zealand’s aggregate sector recorded a modest recovery in the 2024/25 year, contrasting with declining production in many other countries. Figures presented by AQA chief executive Wayne Scott at the Global Aggregates Information (GAIN) meeting in Spain late last year, showed domestic aggregate production increased by 4.4 per cent, following a fall the previous year.
The improvement comes amid challenging global conditions. Aggregate demand in China has dropped by more than one third since 2019, reflecting the prolonged effects of Covid-related disruption and a slowdown in construction activity. Given China’s position as New Zealand’s largest trading partner, this contraction continues to weigh on the global economy.
Wayne also noted that sustainability has become a central focus in China’s quarry sector, with enhanced environmental performance now required across the industry. While New Zealand quarries already operate under comparatively strong environmental regulation, the shift highlights increasing global expectations around resource extraction.
Infrastructure delivery was another key theme raised at recent industry events, including the Future Roads conference in Hamilton. Despite high levels of infrastructure spending compared with other OECD countries, New Zealand often struggles to achieve consistent outcomes. Transmission Gully remains a prominent example. An initial cost–benefit analysis, completed in a short time frame, was later replaced by a more comprehensive assessment that increased the estimated cost by $77 million. Planning gaps were also evident during construction, including late identification of significant aggregate supply needs.
These challenges are often compounded by local opposition to quarry and roading projects, adding time and cost to development.
Policy settings are beginning to shift. The Associated Quarry Association has reported that two quarries were among the first projects approved under the new fast-track legislation, with further approvals expected. In addition, Earth Sciences New Zealand has released Critical Minerals web maps using data from the AQA’s national quarry database, providing a new planning tool for operators and councils.