Construction Market Characteristics
The construction market consists of the sales revenues earned by entities (organizations, sole traders and partnerships) that construct buildings or engineering projects (e.g., highways and utility systems). Establishments that prepare sites for new construction and those that subdivide land for sale as building sites are included in this market. The construction market includes new work, additions, alterations, maintenance, and repairs.
Competitive Landscape of the Construction Market
Major players in the global construction market include China State Construction Engineering Corp., China Railway Group Ltd. (CREC), And China Railway Construction Corporation Limited (CRCC).
Construction Market Size
The construction market size is expected to reach $24 trillion by 2022, significantly growing at a CAGR of around 8% during the forecast period. The growth in the construction market is due to growing economy in emerging countries, increasing population, rising public-private partnerships in infrastructure development, and increasing government investments in large-scale infrastructure projects such as railways and highways.
However, the market for construction is expected to face certain restraints from several factors such as interest rate increases, market uncertainty, and decrease in productivity.
Construction Market Segmentation
The global construction market is further segmented based on type and geography.
By Type - The construction market is segmented into building construction, heavy and civil engineering, construction, specialty construction contractors and land planning and development among these segments, the building construction, heavy and civil engineering, construction market accounts for the largest share in the global construction market.
By Geography - The global construction is segmented into North America, South America, Asia-Pacific, Eastern Europe, Western Europe, Middle East and Africa. Among these regions, the Asia-Pacific construction market accounts the largest share in the global construction market.
Trends in the Construction Market
3D printing in heavy and civil engineering construction, prefabrication of heavy construction projects and building information modelling (BIM) to improve productivity are the major trends witnessed in the global construction market.
Potential Opportunities in the Construction Market
With low interest rate environment, aging population, emerging markets growth, the scope and potential for the global construction market is expected to significantly rise in the forecast period.