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The Government is increasing the number of building products available in New Zealand, including plasterboard, cladding systems, external doors and windows.

Building and Construction Minister Chris Penk said thousands of overseas building products have been given the green light for construction.

“[This ends] costly monopolies on a small number of products that are currently used in New Zealand,” Penk said.

“It is 50% more expensive to build a standalone home in New Zealand than in Australia. That is frankly outrageous.”

He made the announcement with Prime Minister Christopher Luxon in Auckland this afternoon.

Prime Minister attends an Announcement with Building and Construction Minister Chris Penk. Photo / Dean Purcell

Penk said the changes had the potential to reduce total building costs by thousands of dollars when building a home.

“For example, New Zealand has some of the most expensive plasterboard in the world. Kiwis pay around 38% more than Australia for plasterboard, 47% [more] than the UK and 67% more than the US for the same products.”

Penk said 97% of the plasterboard that was currently used 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. That changes tomorrow.”

Penk said the changes had the potential to reduce total building costs by thousands of dollars when building a home. Photo / Dean Purcell

Penk said the first version of the Building Product Specifications document would be released tomorrow.

This lists international standards for products such as plasterboard, cladding, windows and external doors.

“Later this year, additional pathways will go live enabling more high-quality building products to be used including over 200,000 plumbing products through the Australian Watermark scheme.”