Road Construction And Maintenance Market Analysis, Size, and Forecast 2025-2029: North America (US and Canada), Europe (France, Italy, Russia, and UK), APAC (China, India, Japan, and South Korea), and Rest of World (ROW)

Road Construction And Maintenance Market Size 2025-2029

The road construction and maintenance market size is valued to increase USD 230.4 billion, at a CAGR of 4.5% from 2024 to 2029. Road construction and maintenance with building infrastructure will drive the road construction and maintenance market.

Major Market Trends & Insights

• APAC dominated the market and accounted for a 48% growth during the forecast period.
• By Application - New construction segment was valued at USD 426.40 billion in 2023
• By Type - Highway segment accounted for the largest market revenue share in 2023

Market Size & Forecast

• Market Opportunities: USD 47.50 billion
• Market Future Opportunities: USD 230.40 billion
• CAGR : 4.5%
• APAC: Largest market in 2023

Market Summary

• The market encompasses the industry dedicated to the building and upkeep of infrastructure for transportation via roads. This dynamic market is shaped by several key factors. Technological advancements, such as the adoption of intelligent transportation systems and the use of innovative materials like geopolymer concrete, are driving growth. Simultaneously, the increasing cost of construction is posing challenges. According to a report by FMI, the global road construction market is anticipated to expand at a significant rate, with Europe holding a substantial market share.
• In 2020, Europe accounted for over 35% of the global market share. Regulations, including those related to safety and environmental concerns, continue to influence market trends. The ongoing evolution of the market presents both opportunities and challenges for stakeholders.

What will be the Size of the Road Construction And Maintenance Market during the forecast period?

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How is the Road Construction And Maintenance Market Segmented and what are the key trends of market segmentation?

The road construction and maintenance industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion" for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

• Application
  • New construction
  • Reconstruction
  • Repair
• Type
  • Highway
  • Street
  • Bridge
• End-user
  • Government agencies
  • Private contractors
  • Public-private partnerships (PPP)
• Geography
  • North America
    • US
    • Canada
  • Europe
    • France
    • Italy
    • Russia
    • UK
  • APAC
    • China
    • India
    • Japan
    • South Korea
  • Rest of World (ROW)

By Application Insights

The new construction segment is estimated to witness significant growth during the forecast period.

The market is experiencing notable expansion in 2024, fueled by escalating infrastructure investments and the increasing number of vehicles on the road. Traffic management strategies, such as construction scheduling software and real-time traffic simulation modeling, are gaining traction to optimize road network usage and minimize disruptions. Flexible pavement designs and highway safety audits prioritize safety and durability, while construction waste management and heavy equipment maintenance ensure efficient operations. Geosynthetics application, pavement management systems, and pavement distress identification are essential components of modern road construction, enabling proactive maintenance and reducing repair costs. Environmental impact assessments, aggregate properties, and drainage system design are crucial considerations for sustainable infrastructure development.

Construction safety protocols, roadway lighting systems, and bituminous materials are other essential elements that contribute to the market's growth. Market dynamics are continuously evolving, with advancements in asphalt pavement design, pavement preservation techniques, infrastructure asset management, soil stabilization techniques, and structural design software driving innovation. Intelligent transportation systems, work zone safety, and bridge deck rehabilitation are critical areas of focus for enhancing road safety and efficiency. Project cost estimation and geotechnical investigation methods are essential tools for effective planning and execution. Despite these advancements, challenges persist, including rising construction costs and the need for ongoing maintenance and repair.

The market is expected to grow further, with an estimated 21.3% of road construction projects adopting advanced technologies in 2024. Additionally, future industry growth is projected to reach 25.7%, driven by increasing demand for efficient and sustainable infrastructure solutions.

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The New construction segment was valued at USD 426.40 billion in 2019 and showed a gradual increase during the forecast period.

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Regional Analysis

APAC is estimated to contribute 48% to the growth of the global market during the forecast period.Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

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The market in Asia Pacific (APAC) is witnessing substantial expansion, fueled by substantial investments in infrastructure projects in major economies like China, India, Japan, and Australia. Governments in the region are focusing on road development to boost connectivity, foster economic growth, and address the escalating urbanization. In Australia, the M6 Motorway Expansion project in Southern Sydney is a significant infrastructure initiative, slated for completion by Q4 2025.

Likewise, the Malaysia Sarawak-Sabah Link Road project, designed to enhance connectivity between Sarawak and Sabah, is making progress toward its scheduled completion in Q4 2026. These projects exemplify the broader trend of extensive road development initiatives underway in APAC.

Market Dynamics

Our researchers analyzed the data with 2024 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 market is a dynamic and evolving industry, driven by the need to optimize pavement design for heavy loads, improve road safety standards, and enhance infrastructure resilience in the face of environmental challenges. The effect of aggregate gradation on asphalt mix plays a crucial role in ensuring durability and longevity, while the implementation of sustainable construction practices in road projects is becoming increasingly important. In the realm of pavement performance, the impact of environmental factors is a significant concern. Evaluation of bridge structural integrity using sensors and monitoring of pavement performance through non-destructive testing are essential strategies to mitigate risks and ensure safety.

The application of advanced materials in pavement rehabilitation, such as geopolymers and self-healing concrete, is revolutionizing the industry. The market also witnesses the adoption of simulation software to analyze traffic patterns and optimize traffic flow through intelligent traffic management. The design of efficient drainage systems for road networks is another critical aspect, as water management is key to maintaining infrastructure integrity. Moreover, the industry is witnessing a shift towards cost-effective methods for road maintenance and repair, driven by the need for sustainability and budget constraints. The application of advanced construction technologies, such as 3D printing and precast concrete elements, is streamlining the road building process.

A noteworthy trend is the integration of intelligent transportation systems in road management, facilitating real-time data collection and analysis to optimize traffic flow and enhance safety. The utilization of geospatial data in road network planning is also gaining traction, enabling more informed decision-making and efficient resource allocation. Adoption rates of advanced engineering solutions in road construction and maintenance projects are significantly higher in developed regions compared to developing countries. This disparity underscores the need for innovation and cost-effective methods to address the infrastructure challenges in emerging economies. In conclusion, the market is a complex and diverse industry, characterized by a constant pursuit of innovation and sustainability.

The market dynamics are shaped by various factors, including environmental challenges, safety concerns, and budget constraints. By addressing these challenges through the application of advanced materials, technologies, and engineering solutions, the industry is poised for growth and transformation.

What are the key market drivers leading to the rise in the adoption of Road Construction And Maintenance Industry?

• The integration of road construction and maintenance with infrastructure building is the primary market catalyst. 

• The market is experiencing significant growth due to the expansion of transportation infrastructure, particularly in the development of new roads. Several countries, including China, India, Italy, Russia, and Germany, are investing substantially in road and highway projects. Despite lower automation system penetration in developing countries compared to developed nations, these regions are projected to register the highest growth in the coming years due to continuous investments in technological advancements for infrastructure development.
• For example, India's Bharatmala Pariyojana program, initiated in 2017, is a significant infrastructure initiative. The market's dynamism is marked by ongoing activities and evolving patterns, with developing countries increasingly adopting advanced technologies to enhance infrastructure projects' efficiency and sustainability.

What are the market trends shaping the Road Construction And Maintenance Industry?

• The adoption of new technologies and materials is becoming a mandated trend in the market. This shift towards innovation is evident in various industries.

• The construction industry is undergoing significant transformations, driven by technological advancements and the adoption of innovative materials. Productivity is on the rise due to the increasing use of prefabricated modular building blocks. New construction materials, such as durable concrete, high-performance concrete, mineral admixtures, condensed silica fume, and high-volume fly ash concrete, are gaining popularity. These materials are manufactured using advanced technology, enabling their widespread use in the industry. As companies shift towards more automated and manufacturing-based construction methods, the need for efficient supply chain management becomes increasingly crucial.
• This transition will bring about an uptick in product liability risks for construction firms. The construction sector's continuous evolution underscores the importance of staying informed about emerging trends and adapting to new technologies to remain competitive.

What challenges does the Road Construction And Maintenance Industry face during its growth?

• The escalating costs of construction pose a significant challenge to the industry's growth trajectory. 

• The construction industry encounters fluctuating costs due to the price variations of essential inputs. Raw materials, including metals, wood, and concrete, have experienced a global increase, negatively affecting profit margins for companies. Notably, the prices of cement, lime, and plaster, fundamental building blocks, have remained consistent. However, the expenses for specialized services like glazing, metal construction, plumbing, insulation, fire protection, ventilation, and air conditioning have escalated.
• This trend underscores the need for adaptability and effective cost management strategies within the construction sector.

Exclusive Technavio Analysis on Customer Landscape

The road construction and maintenance market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the road construction and maintenance market report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.

 Customer Landscape of Road Construction And Maintenance Industry

Competitive Landscape

Companies are implementing various strategies, such as strategic alliances, road construction and maintenance market forecast, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the industry.

ACS ACTIVIDADES DE - This subsidiary of the company, DragonDas, specializes in comprehensive road construction and maintenance services. Projects encompass design, construction, financing, operation, and maintenance phases.

The industry research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:

• ACS ACTIVIDADES DE
• Advantage North Services Ltd.
• Afcons Infrastructure Ltd.
• Balfour Beatty Plc
• Blacklidge
• Cat Works LLC
• Dilip Buildcon Ltd.
• Ebenezer Commercial Works Ltd.
• Granite Construction Inc.
• Hunan Communication and Water Conservancy Group Ltd
• Kiewit Corp.
• Ledcor IP Holdings Ltd.
• National Highways and Infrastructure Development Corp. Ltd.
• Strabag International GmbH
• TATA projects
• Tenmile
• The Lane Construction Corp.
• United Materials
• Xenomatix

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key industry players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Recent Development and News in Road Construction And Maintenance Market

• In January 2024, global construction materials supplier, LafargeHolcim, announced the launch of its new asphalt plant in the United States, expanding its road construction capabilities (LafargeHolcim press release, 2024). This strategic expansion is expected to increase the company's market share in the road construction and maintenance sector.
• In March 2024, Skanska and Caterpillar signed a collaboration agreement to develop and implement advanced technologies for road construction projects, including autonomous machinery and digital solutions (Skanska press release, 2024). This partnership aims to improve efficiency and reduce costs for clients in the infrastructure sector.
• In April 2025, Wirtgen Group, a leading manufacturer of machinery for road construction and mining applications, secured a major contract from the Australian government for the supply of road construction equipment worth over €200 million (Wirtgen Group press release, 2025). This significant win underscores the company's strong market position in the Asia-Pacific region.
• In May 2025, the European Union approved the Horizon Europe research and innovation program, which includes a focus on sustainable road construction and maintenance technologies (European Commission press release, 2025). This initiative is expected to drive innovation and investment in the European road construction sector, with a particular emphasis on reducing carbon emissions and improving infrastructure sustainability.

Dive into Technavio's robust research methodology, blending expert interviews, extensive data synthesis, and validated models for unparalleled Road Construction And Maintenance Market insights. See full methodology.

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Research Analyst Overview

• The road construction and maintenance industry is a dynamic and evolving market, encompassing various interconnected sectors. Traffic management strategies and construction scheduling software are essential tools for optimizing road network operations and enhancing efficiency. Flexible pavement design and highway safety audits ensure the durability and safety of roadways, while construction waste management and heavy equipment maintenance minimize environmental impact and reduce costs. Geosynthetics application, pavement management systems, and pavement distress identification are critical components of infrastructure asset management. Environmental impact assessments, aggregate properties, and drainage system design are integral parts of sustainable road development. Bituminous materials and material testing procedures contribute to the longevity and performance of road surfaces.
• Rigid pavement design, concrete mix design, and road surface markings ensure structural integrity and safety for motorists. Ground penetrating radar, road surface treatments, and bridge deck rehabilitation address pavement preservation techniques. Intelligent transportation systems, work zone safety, and traffic simulation modeling enhance roadway safety and efficiency. Quality control procedures, asphalt pavement design, and pavement preservation techniques ensure the long-term success of road projects. Infrastructure asset management, soil stabilization techniques, structural design software, project cost estimation, and geotechnical investigation methods are essential for effective planning and execution of road construction and maintenance projects. The industry's continuous evolution reflects the adoption of advanced technologies and evolving market patterns.
• Roadway lighting systems, intelligent transportation systems, and flexible pavement design are among the latest trends shaping the market. The integration of these innovations with traditional practices enhances the overall efficiency, safety, and sustainability of road construction and maintenance projects.

What are the Key Data Covered in this Road Construction And Maintenance Market Research and Growth Report?

• What is the expected growth of the Road Construction And Maintenance Market between 2025 and 2029?

  • USD 230.4 billion, at a CAGR of 4.5%

• What segmentation does the market report cover?

  • The report segmented by Application (New construction, Reconstruction, and Repair), Type (Highway, Street, and Bridge), End-user (Government agencies, Private contractors, and Public-private partnerships (PPP)), and Geography (APAC, North America, Europe, South America, and Middle East and Africa)

• Which regions are analyzed in the report?

  • APAC, North America, Europe, South America, and Middle East and Africa

• What are the key growth drivers and market challenges?

  • Road construction and maintenance with building infrastructure, Rise in cost of construction

• Who are the major players in the Road Construction And Maintenance Market?

  • Key Companies ACS ACTIVIDADES DE, Advantage North Services Ltd., Afcons Infrastructure Ltd., Balfour Beatty Plc, Blacklidge, Cat Works LLC, Dilip Buildcon Ltd., Ebenezer Commercial Works Ltd., Granite Construction Inc., Hunan Communication and Water Conservancy Group Ltd, Kiewit Corp., Ledcor IP Holdings Ltd., National Highways and Infrastructure Development Corp. Ltd., Strabag International GmbH, TATA projects, Tenmile, The Lane Construction Corp., United Materials, and Xenomatix

Market Research Insights

• The market encompasses a diverse range of activities, from material selection and geometric design to structural health monitoring and traffic flow optimization. Two key areas of focus are construction productivity improvement and infrastructure condition assessment. According to industry estimates, the global road network comprises over 25 million miles, with an estimated USD1 trillion spent annually on maintenance and construction. In contrast, recent studies suggest that poorly maintained roads cost economies an average of USD2,250 per motorist per year in additional vehicle operating costs and road user damages.
• Effective asset management strategies, including environmental regulations compliance, pavement performance prediction, and hydraulic design calculations, are crucial to minimizing these costs and ensuring safe, efficient road networks. Additionally, advancements in road construction technology, such as remote sensing and data acquisition systems, enable real-time monitoring and analysis of infrastructure conditions, facilitating proactive maintenance and reducing the need for costly rehabilitation projects.

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