Australia’s construction industry just took another hit, with the country’s only architectural float glass manufacturer, Oceania Glass, entering voluntary administration.
The Dandenong-based company, which employs 260 people and produces 165,000 tonnes of flat glass a year, has long been a key player in the sector.
But now, with administrators stepping in and a desperate search for a buyer underway, the industry is bracing for major disruption.
A long history, a tough future
Oceania Glass has been a staple of Australian manufacturing since 1856. With distribution centres in Melbourne, Sydney, Perth, and Brisbane, the company was acquired from Viridian by Crescent Capital Partners in 2019 for $155 million.
The company website even claims Oceania Glass is the only business running a float glass manufacturing line in the country, with their signature glass featured in “many of Australia’s most iconic buildings, including the Australian Parliament House”.
But now, with finances in trouble, administrators Lisa Gibb, Said Jahani, and Matt Byrnes of Grant Thornton Australia have been brought in to assess the situation and keep the business running while they look for a buyer.
“We understand the role the company plays in the Australian construction sector,” the administrators said on Tuesday.
“In continuing to trade the business with a view to a going concern sale, we will work to mitigate the potential disruption to customers and the broader sector.”
Translation? They’re trying to keep things afloat while searching for a lifeline. But if no buyer steps in, the industry could be left scrambling for alternatives.
If a buyer cannot be found, the consequences could be severe.
“This period will allow customers to make alternative sourcing arrangements and significantly reduce disruption to the broader construction industry,” the administrators added.
Manufacturing in crisis
The news has reignited concerns about the fragility of Australia’s domestic manufacturing sector, particularly in industries vulnerable to cheap imports.
Victorian Assistant Secretary of the Australian Workers Union, Jimmy Mastradonakis, warned the broader implications could be dire for the future of the construction sector.
“This situation highlights a broader crisis in Australian manufacturing, with very few Australian-owned and operated glass manufacturing companies remaining,” he said.
He pointed to the impact of imported glass products, claiming, “The influx of cheap imported glass products has contributed to local businesses being forced into administration, undermining our domestic manufacturing capabilities.”
Oceania Glass actually fought back against unfair competition last year, pushing for an Anti-Dumping Commission investigation into Chinese and Thai glass imports being sold in Australia at below-market prices.
While that may have been a win on paper, it clearly wasn’t enough to stop the financial slide.
What’s next?
With the Federal Government touting its $22.7 billion “Future Made in Australia” investment plan, there are growing concerns about whether enough is being done to protect local manufacturers like Oceania Glass.
A first meeting of creditors is scheduled for Friday, 14 February, where the future of Oceania Glass—and potentially a significant part of Australia’s construction supply chain—will be determined.
For now, the industry is left watching and waiting, hoping a buyer steps in before another crucial piece of Australian manufacturing is lost.
