On Monday it will release its building product specifications document, which will list international standards for products like plasterboard, cladding, windows and external doors.
The aim of the change is to allow more overseas building materials into New Zealand’s construction sector.
Building and Construction Minister Chris Penk said the products had been given “the green light” to end “costly monopolies”.
“For example, New Zealand has some of the most expensive plasterboard in the world.
“Kiwis pay around 38 percent more than Australia for plasterboard, 47 percent more than the UK, and 67 percent more than the US for the same products. And 97 percent of the plasterboard that we must currently use is made by one established company.
“You may recall that in 2022, when that company ran into difficulty, prices for plasterboard soared and some builders were reported to pay six times the normal amount so they could finish the job.”
He said there were are thousands of high performing products that had been tested against international standards, but faced uptake barriers in New Zealand because they had not been specifically tested against “our own standards”.
“This is just the beginning of our work to open the door to more building products, lower the cost of homes and turbo charge the construction sector and there will be more to come,” he said.
ACT building and construction spokesperson Cameron Luxton said builders and tradies were “finally free to use materials trusted and approved around the world”.
“More competition doesn’t just help those who choose the new products, it forces existing suppliers to drop their prices or risk losing out.
“This is how ACT thinks across the board.”
‘Big step forward’
Registered Master Builders Association chief executive Ankit Sharma said the announcement marked a timely and practical reform that would help to reduce the construction costs and increase product availability across the sector.
“Builders across New Zealand have faced increasing cost pressures, and one of the biggest challenges has been delays or shortages in key building materials. By allowing overseas products that meet standards to be used more readily, we can improve supply chain resilience, reduce delays and ultimately deliver more homes, faster and more affordably,” he said.
The initiative reflected feedback from association members, who frequently identified access to building products as a constraint, Sharma said.
“The building sector has been calling for a more responsive system. Today’s announcement is a big step forward and we support the government’s commitment to unlocking more affordable housing through better regulation.”
