Construction Aggregate Market Information By Type (Crushed Stone and Sand & Gravel), By Application (Non-Residential and Residential), By Transportation Mode (Truck, Train, and Ship), and Region (North America, Europe, Asia-Pacific, and the Rest of the World)—Forecast till 2030

Global Construction Aggregate Market Overview

The  construction aggregate market is projected to register a CAGR of 7.3% from 2022 to 2030. Aggregate is the granular product that is mined the most globally. It is a crucial part of composite materials like asphalt concrete and concrete. Natural deposits like granite, limestone, and falling rocks are recovered by carefully drilling and blasting them. The  construction aggregate market size is expected to reach approximately USD 664.9 Billion by 2030. These aggregates are typically utilized as the building blocks for parking lots, motorways, and airport runways. These are also used for filtration, purification, and managing soil erosion. While the supply-demand gap for natural sand has not been closed, construction aggregates have emerged as a workable solution for infrastructure issues. Despite significant concerns about the depletion of natural resources, construction aggregate is being used in infrastructure, commercial, industrial, and housing development projects. In the upcoming years, the aggregates market is anticipated to be driven by the construction industry's explosive growth, particularly in emerging nations in Asia-Pacific, the Middle East & Africa. Sand, gravel, crushed stone, and other building materials frequently used in the construction industry are all referred to as construction aggregate or simply aggregate. Moreover, the rising government financing and investments in road and railroad projects will enhance the sales prospects of construction aggregates worldwide.

COVID-19 Impact Analysis

Due to the lockdowns implemented in most nations following the unique COVID-19 outbreak in December 2019, the construction aggregates market has been severely disrupted and has negatively influenced product demand in recent months. Many market nations, including well-known ones like Italy, the U.S., and India, have experienced conditions like curfews when enterprises other than those providing critical services with a small workforce were prohibited from operating. Additionally, the COVID-19 outbreak's effects have hindered the construction industry's recent growth, leading to delays resulting from multiple interrupted demand and supply chains. In recent months, most construction projects were temporarily halted to stop the COVID-19 virus from spreading. The aforementioned elements have greatly impacted the demand for construction aggregates in recent months. Most construction projects are likely to be left unfinished or delayed due to supply chain disruptions, cash flow issues, labor shortages, and production shutdowns, which will present several challenges for producers and manufacturers in the market and the overall construction industry.

Construction Aggregate Market Dynamics

The growth of infrastructure projects has pushed the market for construction aggregates due to the rising urbanization of the world. The demand for offices, homes and commercial malls has necessitated the  availability of building aggregates. The government's increased spending has spurred the demand to construct new transportation infrastructure and expand its energy (power generation) infrastructure. Companies must spend a lot of money on gasoline to mine the aggregates. Any increase in gasoline costs will have a detrimental impact on aggregate production. Consequently, market expansion may be hampered.

Market Drivers

• 
  

  Development in digital transformation

  
  

The majority of critical processes across many industries, including the construction sector, have been altered by technology. Construction 4.0, a concept that encompasses connectivity for real-time decision-making and streamlining operational management, is the term used to describe this sector's digital transformation. This strategy has made it possible for construction companies and the workforce to adopt a technology framework that will assist them in overcoming the present issues facing the sector. Building Information Modeling (BIM) is supporting digital change in the construction industry at a rapid rate. BIM helps with time management, budget planning, sustainable raw material consumption, waste reduction, and overall improved project performance.

Market Restraints

• 
  

  High transportation costs

  
  

Since transportation costs for construction aggregates are generally expensive due to their weight and volume, this is a substantial barrier to the market's growth. In addition to strict zoning laws and controls on the extraction of building aggregate in inhabited areas, transportation costs comprise over half of the total administrative and logistical costs related to construction aggregates.

Market Opportunities

• 
  

  Development in infrastructure activities

  
  

The increase in government spending on infrastructure and transportation construction will likely drive the  market. Construction activities were briefly delayed in the U.S. to stop the new coronavirus from spreading, which had a negative impact on market growth. However, with an expedited vaccination process and increasing adoption of technological advancements in the country, growth is anticipated to pick up pace in the upcoming years. The government funds are allocated for developing 24 projects in 18 states that come under the Infrastructure for Rebuilding America (INFRA) grant program.

Construction Aggregate Market Segmentation

Type Insights

The  construction aggregate market segmentation, based on type, is crushed stone and sand & gravel. The  construction aggregate market growth was prominently high under the crushed stone category in 2021 due to the easy availability of aggregates. For example, every state in the US produces crushed stone except Delaware. The product is primarily used as a building material in the production of cement and for the construction of roads. Concrete is frequently made with cement, coarse aggregates, and sand.

Application Insights

The  construction aggregate market segmentation, based on application, is non-residential and residential. In 2021, non-residential accounted for the largest market share of the  market. The infrastructure application of construction aggregates is the most lucrative sub-segment due to expanding infrastructure activities in developing nations' healthcare, education, energy, and electricity sectors, supported by rising government spending on infrastructural development.

Transportation Mode Insights

Based on the transportation model, the  market is divided into trucks, trains, and ships. The truck category dominated the market for construction aggregate in 2021 owing to the rise in product demand from the population likely to propel the truck segment.

Global Construction Aggregate Market Share, by Region, 2021 (%)

Construction Aggregate Market Overview, by Region

By region, the  market has been divided into North America, Europe, Asia-Pacific, and the Rest of the World. Asia-Pacific accounted for the most extensive market share. Europe will exhibit the highest CAGR during the forecast period.

Asia-Pacific

Asia-Pacific dominated the market share in 2021. The existing construction industry in the area is to blame for this expansion. According to statistics provided by the IMF, the COVID-19 pandemic will probably have the least impact on the region's economy. In the upcoming years, construction spending in the region is projected to increase, driving aggregate demand. This is due to the region's rapid industrialization and urbanization, the comeback of foreign investment funds, and rising disposable income levels.

Europe

Europe accounted for the second-largest market share in the  market in 2021 due to the general economic slowdown and political unpredictability, such as Brexit, building activity growth has slowed in Europe during the previous few years. Additionally, the strict mining regulations encourage the use of sustainable construction aggregates in the region. These elements generate profitable chances for market participants to adopt new product developments and increase local production capacity.

Construction Aggregate Market Competitive Landscape

The market includes tier-1, tier-2, and local players. The tier-1 and tier-2 players have  reach with diverse product portfolios. Companies such as Adelaide Brighton Ltd., CEMEX S.A.B. de C.V., CRH, Heidelbergcement AG, Holcim Ltd., and Martin Marietta Materials Inc dominate the  market due to product differentiation, financial stability, strategic developments, and diversified regional presence. The players are concentrating on supporting research and development. Furthermore, they embrace strategic growth initiatives, such as development, product introduction, joint ventures, and partnerships, to strengthen their market position and capture an extensive customer base.

Prominent players in the  construction aggregate market research include Adelaide Brighton Ltd., CEMEX S.A.B. de C.V., CRH, Heidelbergcement AG, Holcim Ltd., Martin Marietta Materials Inc., Rogers Group Inc., SIKA group, Vicat SA, Vulcan Materials Company among others.

Scope of the  Construction Aggregate Market Report

Type Outlook

• Crushed Stone


• Sand & Gravel

Application Outlook

• Non-Residential


• Residential

Transportation Mode Outlook

• Truck


• Train


• Ship

Region Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  • Mexico
  
  
  
  


• Europe
  
  
  
  • UK
  
  
  • Germany
  
  
  • France
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • India
  
  
  • Japan
  
  
  • Australia and New Zealand
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • South America
  
  
  • Middle East
  
  
  • Africa
  
  
  
  

Objectives of the Study

The objectives of the study are summarized in 5 stages. They are as mentioned below:

Construction Aggregate Market Forecast & Size:

To identify and estimate the market size for the  construction aggregate market report segmented by type, application, and transportation mode by value (in US dollars). Also, to understand the consumption/ demand created by consumers in the  construction aggregate market forecast between 2022 and 2030

Market Landscape and Trends:

To identify and infer the drivers, restraints, opportunities, and challenges in the  construction aggregate market growth

Market Influencing Factors:

To find out the factors which are affecting the  construction aggregate market size among consumers

Impact of COVID-19:

To identify and understand the various factors involved in the market affected by the pandemic

Company Profiling:

To provide a detailed insight into the major companies operating in the market. The profiling will include the financial health of the company in the past 2-3 years with segmental and regional revenue breakup, product offering, recent developments, SWOT analysis, and key strategies.

Intended Audience

• Construction aggregate producers


• Raw material suppliers


• Retailers, wholesalers, and distributors


• Governments, associations, and industrial bodies