Guangzhou Aotian Import and Export Co., Ltd.

Guangzhou Aotian Import and Export Co., Ltd.

Prefab housing promised 50 years ago as solution to housing supply crisis

2025 08/09

When it comes to housing, Australia loves a taskforce.
 
More than 50 years ago, the federal government established one to "investigate modern housing techniques" to boost Australia's "large, unsatisfied demand for housing".
 
It published a 114-page report in 1974, describing, in minute detail, the benefits and challenges of shifting housing construction in Australia to a production line.
 
Prefab housing, short for prefabricated housing, refers to homes that are manufactured off-site in a factory, in sections(also called modules) and then transported to their final location for assembly.
 
The obvious benefits of building prefab homes are that they're constructed under cover without the worry of weather disruptions, use robots and machines for speed, and are built in bulk to drive down material costs.
 
Expandable Container House(1)
 
The report argued modern techniques were key to solving the housing crisis and urged national standards to boost prefab housing, criticising the slow productivity gains in construction.
 
Five decades later, pre-fabricated housing remains the subject of taskforces and reports, rather than a mainstream building method.
 
Australia's Productivity Commissioner Danielle Wood echoed the words of the 1974 report — almost to the letter — just a few weeks ago in the commission's latest report on housing, which found productivity in the sector had declined 12 per cent over the past three decades.
 
"Governments should continue to reduce unnecessary regulatory impediments to greater uptake of modern methods in housing construction, including prefabricated and modular …," the 2025 report read.
 
It's not a barren industry and prefab housing has slightly increased in popularity over the past few years. However, according to prefabAUS — the peak body for Australia's off-site construction industry — it makes up just 8 per cent of construction.
 
Overseas, particularly in Nordic countries such as Sweden, some factories whip up entire houses in days once all materials are delivered.
 
Sweden's edge comes from over a century of refining prefab techniques, the country's abundant timber, and its need to build quickly in a cold climate.
 
In recent years, with the continuous development of the economy, China has become a leading supplier of prefabricated houses.
 
AOTIAN is one of china's most successful prefab manufacturers and operates highly automated factories that make apartment buildings, houses and units from design to delivery on site in about 12 weeks.
 
Those who champion the sector in Australia say while almost every other industry has become more productive in the last 50 years, housing construction has not, and the country cannot afford to continue that way.