Building Construction Market By Type Research, 2031
The global building construction market size was valued at $5,412.80 billion in 2021, and is projected to reach $11,121.90 billion by 2031, growing at a CAGR of 7.4% from 2022 to 2031. Building construction means furnishing supplies, material, equipment, and labor for the maintenance, repair, renovation, alteration, construction, and design of any structure or building. The building construction does not include structures, such as stand-alone parking lots, dams, bridges, roads and highways. The growing investment by the government for the improvement of various residential and construction buildings to drive the economy of the particular nation is a major factor driving the growth of the market. In addition, introduction of technology for the manufacturing of building construction materials is leading to faster process of construction along with new strength characteristics over the materials. Thus, such factors further drive the building construction market.
However, high cost of purchasing the equipment for development and manufacturing of various construction materials is leading to high cost of materials, which limits its use for different construction projects, thus, hampering the building construction market growth.
Furthermore, construction, manufacturing, hotel, and tourism industries were majorly affected during the outbreak of the COVID-19 pandemic. Manufacturing activities were halted or restricted. Construction and transportation activities, along with their supply chains, were hampered on a global level. This led to decline in manufacturing of various construction materials and caused an impact over their demand in the market, thereby restraining the building construction market share. Conversely, industries are gradually resuming their regular manufacturing and services. This is expected to lead to re-initiation of building construction companies at their full-scale capacities, which helped the market to recover by end of 2021.
On the contrary, rapid industrialization and urbanization in various developing countries is leading to establishment of new construction projects, including construction of various residential and non-residential buildings, which is expected to offer building construction market opportunity.
The building construction market is segmented into type, construction type, application and end User. On the basis of type, it is further classified into residential and non-residential. By end user, it is divided into private and public. By construction type, it is categorized into owned and rental. By application, it is categorized into new construction and renovation. Region-wise, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
On the basis of type, the residential segment dominated the market, in terms of revenue in 2021, and is expected to witness growth at the highest CAGR during the forecast period. By construction type, the new construction segment led the building construction market in 2021, and the renovation segment expected to exhibit highest CAGR in the near future. By application, the rental segment led the market in 2021, in terms of revenue and is anticipated to register highest CAGR during the forecast period. By end user, the private segment led the market in 2021, in terms of revenue and is anticipated to register highest CAGR during the forecast period. Region-wise, Asia-Pacific garnered the highest revenue in 2021. However, LAMEA is anticipated to register highest CAGR during the forecast period.
The major players profiled in the building construction market analysis include ACS, Actividades De Construction Services, Bouygues SA, China Evergrande Group, China State Construction Engineering Corporation Ltd., Country Garden Holdings Co. Ltd., Daiwa House Group, D.R. Horton Inc., Fluor Corporation, Greenland Holding Group, HOCHTIEF, Lennar Corporation, Power Construction Corp of China, Skanska, Sunac China Holdings Ltd., The Metallurgical Corp of China, and VINCI. Major companies in the market have adopted product launch, partnership, business expansion, and acquisition as their key developmental strategies to offer better products and services to customers in the building construction market.
Key Benefits For Stakeholders
- This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the building construction market trends.
- The market research is offered along with information related to key drivers, restraints, and opportunities.
- Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
- In-depth analysis of the building construction market forecast.
- Major countries in each region are mapped according to their revenue contribution to the global market.
- Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
- The report includes the analysis of the regional as well as global building construction industry trends, key players, market segments, application areas, and market growth strategies.
Building Construction Market Report Highlights
By Construction Type
By End User
Key Market Players
DLF, Lennar Corporation, Shapoorji Pallonji, Daiwa House Group, Greenland Holding Group, China State Construction Engineering Corporation Ltd., HOCHTIEF, Power Construction Corp of China, Vinci, Country Garden Holdings Co. Ltd., D.R. Horton Inc., SKANSKA, The Metallurgical Corp of China, China Evergrande Group, ACS, ACTIVIDADES DE Construction Services, Sunac China Holdings Ltd., Bouygues SA
The building construction market is mainly driven by increase in government expenditures for development and reconstruction & repair of infrastructure. In addition, reduced construction time and cost-efficient production of products drive the growth of the market. Moreover, development in manufacturing technology helps to overcome labor problem and lead to manufacturing of large quantity of products with minimal errors. However, high initial setup cost of the production units for construction materials acts as restraint for the building construction market.
On the contrary, rapid urbanization and industrialization of emerging countries is expected to create opportunities for the growth of the building construction market during the forecast period. Major companies in the market have adopted strategies, such as acquisition, business expansion, product launch, and collaboration to offer better services to customers in the building construction market.