Brief

Western Australia grants $4 million to restart Brickworks Cardup plant amid brick shortage

The state will pay $3 million to re‑commission equipment and $1 million in performance‑linked payments to bring the Cardup site back online by March.

By Felo News Desk · Published

The Western Australian government has announced a $4 million grant to restart Brickworks’ Austral Bricks facility in Cardup, south of Perth, after it was mothballed in 2023. The funding, announced by Deputy Premier Rita Saffioti, will cover a $3 million payment to re‑commission plant equipment and a $500,000 payment to ensure operations resume by March 2027. A further $500,000 will be released if Brickworks delivers 17 million maxibricks within the first year of operation.

Brickworks’ return comes as the state faces a severe brick shortage that has left home builders scrambling. Midland Brick, the only other major producer, has begun rationing bricks, prompting builders such as Dale Alcock of the ABN Group to warn that the supply gap could threaten the construction pipeline. Saffioti said the state’s building industry urgently needs more bricks to avoid a long‑term challenge.

Alcock noted that while the Cardup plant will help, it may not fully meet demand. He highlighted that the industry still relies heavily on double‑brick construction and that a rapid shift to alternative methods is unrealistic. The state has already invested about $100 million in alternative construction techniques, but the industry remains largely double‑brick.

Brickworks’ restart is expected to increase WA brick production by 10‑15 %, helping to bridge the gap between the current supply of 13,500 homes per year and the projected 24,000 homes now under construction.

Key facts

  • WA government will spend $4 million to restart Brickworks’ Cardup plant (smh.com.au)
  • $3 million payment to re‑commission equipment, $500,000 to ensure March start, $500,000 contingent on 17 million maxibricks (smh.com.au)
  • Brick shortage has caused Midland Brick to ration bricks (smh.com.au)
  • WA’s building industry now has a pipeline of 24,000 homes, up from 13,500 before Cardup shut (smh.com.au)
  • State has invested $100 million in alternative construction methods (smh.com.au)

Background

The Cardup facility was mothballed in 2023, reducing WA’s brick production capacity. The state’s construction industry has grown rapidly, increasing demand for bricks. The government’s investment aims to address the supply gap and support the housing market.

Why it matters

The grant is intended to alleviate a critical brick shortage that threatens the construction industry and housing supply in Western Australia.

What happens next

Brickworks is expected to resume operations by March 2027, with performance payments linked to brick output.

Sources

  • [1] smh.com.au — originally reported as “Western Australia brick shortage: WA government provides $4 million grant to re-open Cardup plant to address critical brick shortage”

Earlier coverage

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