Enjoy complimentary customisation on priority with our Enterprise License!
The Construction Market in EMEA is estimated to grow by USD 336.62 billion from 2022 to 2027, and the market's growth momentum will accelerate at a CAGR of 4.95%. The growth of the EMEA construction market size depends on several factors, including the increase in the construction of green buildings, the increase in infrastructure investments, and the adoption of dry construction techniques.
This construction market in EMEA research report extensively covers market segmentation by end-user (private sector and public sector), type (commercial and residential), and geography (Germany, France, UK, Spain, and Rest of EMEA). It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.
To learn more about this report, Request Free Sample PDF
The EMEA construction market report includes the adoption lifecycle of the market, spanning from the innovator’s stage to the laggard’s stage. Furthermore, the report includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
The increase in the construction of green buildings is a key driver impacting the growth of the construction market in EMEA. The construction, establishment, and other services require substantial amounts of energy and costs. Moreover, buildings emit large amounts of greenhouse gases, which are harmful to the environment. This highlights the need for appropriate energy-efficient buildings, such as green buildings.
Green buildings minimize energy consumption and efficiently utilize the available energy to meet all their requirements. The demand for such buildings will grow significantly during the forecast period, with the growing awareness about global warming and climate change. The rising demand for residential and non-residential building spaces in EMEA will drive energy consumption, improve efficiency in the building sector, and reduce emissions. Such developments will boost the market prospects for energy-efficient buildings.
The growing demand for modular houses is a key trend influencing the growth of the construction market in EMEA. Modular houses are manufactured at an offsite location and then shipped to the required location to be assembled and built. These houses offer buyers the flexibility to incorporate their own designs and specifications. The popularity of such houses has been increasing steadily over the last few years owing to rising housing rents and the high cost of building new houses.
The demand for modular houses in EMEA is expected to increase significantly during the forecast period, especially among nuclear families. The cost of these houses is low when compared to traditional houses, which has increased their demand. Thus, the growing demand for modular houses is expected to support the growth of the Europe, Middle East, and Africa construction market during the forecast period.
Lack of awareness and volatility in transportation charges will challenge the growth of the construction market in EMEA during the forecast period. Modular constructed parts need to be transported from manufacturing units to the construction site. The transportation of these parts requires special vehicles. Moreover, the carriage charges vary due to factors such as lack of planning of city roads, use of private cars, road capacity, and insufficient and inadequate public transport, which further increases the cost of modular construction.
Fuel prices, mode of transportation, and the distance to be covered also affect transportation costs. Any delay in transporting modularly constructed parts will lead to a delay in construction projects. In addition, many people are unaware of modular construction methods, as they are accustomed to traditional construction methods. Contractors are also often unaware of new construction methods, which lowers their lower adoption. Such factors may impede the growth of the market during the forecast period.
Vendors are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
AFRIDECA Group (Pty) Ltd. - The company offers construction services such as shopping malls, multi-story office complexes, and manufacturing facilities. The company offers services that include construction work for buildings and civil engineering, installation and assembly work, building completion, and finishing work.
Al Naboodah Construction Group - The company offers construction services such as roads, highways, bridges, tunnels, and dams. It also offers civil engineering, mechanical, electrical, and plumbing services, as well as constructs airports, tunnels, and buildings.
We also have detailed analyses of the market’s competitive landscape and offer information on 20 market vendors, including:
The report offers a deep understanding of the market and its players through a combined qualitative and quantitative analysis of vendors. Technavio classifies vendors into categories based on their business approach, including pure-play, category-focused, industry-focused, and diversified. Vendors are categorized into dominant, leading, strong, tentative, and weak to understand the dos and don’ts of business, which, in turn, can help clients make the best decisions.
The private sector segment includes residential as well as commercial projects. The aging buildings and the growing resale of properties in EMEA have increased the need for renovation and modernization of building structures in the private sector. Moreover, governments of various countries are implementing policies for building contractors and house owners to ensure energy efficiency.
Get a Customised Report as per your requirements for FREE!
The private sector segment was valued at USD 695.34 billion in 2017 and continued to grow until 2021. The private sector is anticipated to play a major role in the delivery of infrastructure projects in the future. Currently, more than USD 50 billion of social infrastructure work is being completed, while USD 70 billion is in various stages of planning. These factors will drive the growth of the segment in the Europe, Middle East, and Africa construction market during the forecast period.
The commercial segment will account for a significant share of the market growth during the forecast period. In 2017 the commercial segment was valued at USD 642.25 billion. The growth of the segment is attributed to factors such as plans by various governments to develop the tourism sector. The demand for construction activities in the commercial market segment is expected to grow during the forecast period owing to high investments in the commercial real estate market and the industrial sector in EMEA.
The EMEA construction market research report forecasts market growth by revenue at global, regional, and country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
EMEA Construction Market Scope |
|
Report Coverage |
Details |
Page number |
150 |
Base year |
2022 |
Historic period |
2017-2021 |
Forecast period |
2023-2027 |
Growth momentum & CAGR |
Accelerate at a CAGR of 4.95% |
Market growth 2023-2027 |
USD 336.62 billion |
Market structure |
Fragmented |
YoY growth 2022-2023(%) |
4.55 |
Key countries |
Germany, France, UK, Spain, and Rest of EMEA |
Competitive landscape |
Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks |
Key companies profiled |
ACS Construction Group Ltd., AFRIDECA Group (Pty) Ltd., Airolink Building Contracting LLC, Al Futtaim Group Co., Al Habtoor Group LLC, Al Naboodah Construction Group, Arabtec Constructions, Balfour Beatty Plc, BIC Contracting LLC, BOUYGUES, Consolidated Contractors Co., Dutco Group, Eiffage, Implenia AG, Khansaheb Civil Engineering LLC, Kier Group plc, Skanska AB, UCCHolding, Vinci, and WBHO Ltd. |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period. |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this report to meet your requirements. Get in touch
Get lifetime access to our
Technavio Insights
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.