ID: MRFR/CO/0967-HCR | February 2021 | Region: Global | 100 pages
Precast construction market is expected to reach USD 185.45 billion by 2027 and is expected to witness 6.23% CAGR during the forecast period. The base year considered for the study of the market is 2019, and the forecast period for the global precast construction market is 2020 to 2027.
Precast construction is a technology that mixes and cures concrete and other construction materials. After the cast cure and control process, the materials are transported to the construction site. The precast construction is suitable for constructions that require customize slabs, Stairs, walls and girders. The use of precast construction technology is beneficial for constructors to come up with innovative building designs. With the help of precast construction technology mass amount of building companies are produced.
It is a technology that enables the fast construction of building in a short period. The growth in the construction sector is the crucial driver for the precast construction market. The investments in the construction market are higher than ever in this forecast period. Due to these vast precast constriction opportunities, the Market Growth will be immense. It is assumed that the global Market Size will grow by 6.23%. Also, the Precast Construction industry value will increase by 185.45 billion. The positive growth trend of the market will continue for the upcoming years. Also, due to the ongoing development, the market will witness expansion.
The outbreak of covid 19 has affected plenty of global markets. The precast construction market is witnessing a nominal growth rate during this pandemic. Also, the diminishing demand rate is a challenging factor for the market. The constructions work across the globe has come to a halt due to the virus outbreak. It is widely affecting the global Market Outlook.
Further, the market has a shortage of raw materials during this period. It affects the production and manufacturing process of the market. The supply chain disruptions, restricted trade and diminishing demand in the construction market are few challenges that affect the market more. However, the market will resume its production in the upcoming years. The demand for the modular building is continuously rising in recent years. It will ultimately enable the market to increase production.
The key players of the precast construction market
The competition in the precast construction market is moderate. The key players of the market have effective strategies during the forecast period. The market expansions and acquisition plans are massive between the key players. Also, the key players of the market are developing strategies to fix the challenges in the market. During the forecast period, the global market will go through plenty of enhancements.
The implementation of the precast construction is increasing the safety in work zones. The construction of public infrastructures such as bridges, subways and other construction can hinder the traffic on roads. Also, there are plenty of possibilities for road accidents due to these on road construction projects. Also, the raw materials used by the precast construction technology such as cement, bricks, gravel and sand can be recycled. It minimizes the use and wastage of raw materials in the construction market. The demand for low-cost residential buildings is higher. Especially in an urban area, it is challenging to find affordable houses. However, the use of precast construction technology ultimately lowers the residential cost. It allows more individuals to purchase a house in urban areas.
Also, with precast technology, it is possible to construct a building without material wastage. The recycled raw materials can be used to construct modern and affordable houses. Due to the escalating trend of the low-cost residential building market, the precast construction market is also deriving more demand. Furthermore, most of the population is inclined towards the precast contraction building due to their efficiency, performance and quick construction time. These features of the technology drive more demand for the market. Also, the market is productive and witnessing quick changes due to these exceptional features. These are the crucial demand driving factors for the precast market. These divers will further enhance the market size and Market Revenue in forecast period.
The government is continuously finding ways to develop the infrastructure of a country. The commercial and industrial infrastructure development of a country is highly essential. These governmental plans increase the demand for the concrete market. The growth of infrastructure renovation and remodeling operations will create growth opportunities for the precast construction global market. The renovations in residential and non-residential areas will increase the operations of the market. The market will receive more construction projects in the upcoming years. These promising Market Growth opportunities will ultimately spark the profitability of the market. The growing urbanisation is another factor that will offer growth possibilities for the market. Urbanisation creates the need for affordable residents for individuals. These requirements will positively affect the market in the forecast period. The shorter construction period and efficiency of the market will further enhance its growth prospects.
The precast construction market is prone to sudden price fluctuations. The increase or decrease in the price affects the profitability of the market. The materials that are essential to creating precast construction components are cement, sand and aggregates. The volatility of the price to transport, create and use these products varies a lot. The fluctuations in the raw materials act as a retesting factor for the market revenue. The fluctuations in the crude oil cost and petroleum to transport the precast material is another factor that hampers the market growth. This resistance can even affect the market demand during the forecast period.
The precast construction market highly depends on the transportation facilities to transport the products. Without these transportation mediums, it is impossible to transport them to the installation site. The labour cost, fuel charge, handling charge and warehouse charges are additional costs in the market. Also, these costs increase the overall cost of the precast construction product. Also, these charges are highly volatile for the market. It is a significant challenge as it can decline the demand in the long run.
Precast construction is a wide market with plenty of demand and growth opportunities. There are plenty of segments that offer profitability from various angles. Also, the crucial drivers of the market are exceptionally providing demand for the market. The market growth opportunities are also impressive for the market. The elemental construction segments of the market will witness high demand during the forecast period. Further, the precast construction in the non-residential building is much required in the upcoming years. The speed of building construction and the performance of precast construction are the features that benefit the overall market. The global Market Trends is positive in forecast period.
Asia pacific region will hold the highest Precast Construction Market Share. The increasing rate of population and urbanisation are the crucial reasons for market growth. The construction sector in the Asia Pacific region is booming. There is a new range of buildings required with energy efficiency and affordability. It creates more opportunities in the region. Both the commercial and industrial sectors in the Asia pacific region require precast construction technology. It is the most suitable construction method for the infrastructures in this region. During the forecast, the Asia Pacific region will market the highest demand rate.
By construction type
The forecast construction market is fragmented into Europe, Asia Pacific and North America. The Asia Pacific will dominate the precast construction market in the forecast period. The need for precast materials is high due to the construction of the residential building and other public infrastructures. Also, the investments and production rate of the market all are high in Asia pacific.
North America is the next vast precast construction market. The market growth in this region remains substantial during the forecast. The precast constructions are more favourable than other building material technology. The increasing investments in this region will boost demand and Market Revenue in North America. Europe is a merging market with plenty of growth possibilities. The demand rate and market expansion rate is massive in the forecast period.
|Market Size||2027: USD 185.45 Billion|
|CAGR||6.23% CAGR (2020-2027)|
|Forecast Units||Value (USD Billion)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Product, Construction Type, Application, Region|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Balfour Beatty (UK), Bouygues Construction (France), Julius Berger Nigeria Plc. (Nigeria), Kiewit Corporation (US), Komatsu Ltd (Japan), LAING O'ROURKE (UK), Larsen & Toubro Limited (India), Taisei Corporation (Japan), and Red Sea Housing Services (Saudi Arabia).|
|Key Market Opportunities||Increasing investment in the construction industry and the improvement in financial conditions in emerging economies|
|Key Market Drivers||
Frequently Asked Questions (FAQ) :
The projected CAGR of Precast Construction market is 6.23% for the forecast period.
The market would achieve a valuation of USD 185.45 billion.
The growth would be challenged by low customer awareness in earthquake-prone areas and better infrastructural support by various market players.
The report includes segments like floors & roofs, paving slabs, columns & beams, staircase, girders, walls, lintels, and others.
The market segment to enjoy better growth would be infrastructure.