More construction is taking place in Beijing alone than in the entire European continent. As well, the rapid growth of China's middle class has raised consumer expectations and fuelled a growing demand for high quality homes.

China has an ambitious plan to create 5,000 new satellite cities. Shanghai is forecast to require an additional 1.3 million square metres of new residential housing annually to house its swelling population. High demand for residential and non-residential structures relating to the 2008 Olympic Games and the 2010 World Expo also will drive growth in the construction sector.

Due to government measures to curb the over-heated real estate market, housing price growth continued to slow in October at 0.5 percent, compared with a 0.6 percent gain in September and a 0.7 percent increase in August, according to a survey by the National Development and Reform Commission and National Bureau of Statistics.

Important to monitor is the rise of new building requirements. In Shenyang, Liaoning Province, the local government began to implement a new energy saving construction standard this October. Under this new standard, new public construction projects are required to use energy-saving materials to save 50% energy usage, and residential housing requirements are set at 65% energy savings. Under previous standards, every square metre of floor space should consume 31 kg of coal to ensure a suitable winter temperature. Under the new standard, that consumption has been cut by more than two-thirds.

As well, new residential houses are expected to consume less electricity for air-conditioning in summer, with the savings gained through more energy efficient design and construction.