ID: MRFR/CO/3422-CR | December 2018 | Region: Global | 146 pages
Precast concrete market is estimated to witness a 5.36% CAGR during the forecast period.
The market growth can be accredited to the rising consumption of building materials due to the demand for pre-engineered buildings. Besides, rising uses of precast concrete to ensure improved quality and productivity while minimizing the required construction period and cost drive the market growth. Moreover, the burgeoning construction industry worldwide escalates market demand. Precast Concrete Market is projected to worth USD 103,666.1 Million by 2023, registering a 5.36% CAGR during the forecast period (2018-2023). In 2017, the market was valued at USD 76,200.7 Million.
The COVID-19 outbreak has severely affected the precast concrete industry, resulting in the closing down of several manufacturing facilities across the globe. It has created new and amplified existing challenges, grappling sector participants with the contractual implications of the lockdown. Apart from the contractual issues, COVID-19 initially added to the pipeline uncertainty and project funding issues.
Industry players faced significant hurdles in delivering on their strategies to respond to the shortage of skilled workers, elevated with the tightening of immigration restrictions due to COVID-19 and the impact of these restrictions on overseas specialist labor availability. Overall, Coronavirus has given the industry a shake-up to address some of the entrenched contractual positions that have historically been adopted by the market players.
They are trying to deliver on the significant project pipeline, fostering investments. However, COVID-19 level 4 restrictions have also created significant new opportunities. Not only have things changed, but there are plenty of opportunities for transformation and revitalization in the construction sector.
The governments across the countries worldwide stepped into injecting significant amounts of money through 'shovel ready' projects initiatives. The governments also took up some unique initiatives to tackle the skills shortage, improve the skills of workforces, and increase the construction sector's productivity levels. Also, it is expected that the product demand in the end-use sector would pick up following the uplift of the lockdown in numerous countries.
Rising Uses of Precast Concrete to Bolster Growth
Versatile, precast concrete is completely recyclable and demonstrates high strength and durability, which increases its uptake in modern construction and pre-factored buildings. Increasing demand for green buildings allows the market to grow vigorously. Additionally, rising smart city projects coupled with the government initiatives of infrastructure development, provide impetus to market growth.
Ever-increasing population and rapid industrialization & urbanization worldwide boost the growth of the market. The hotel industry is surging rapidly, owing to the growing travel sector. Usages of precast concrete in the hotel sector to ensure faster quality construction define market landscape expansion in the recent future.
Emerging Nations to Present Robust Opportunities
Emerging markets across the globe present untapped opportunities for the consumption of precast concrete in end-use industries. The expanding construction industry in developed countries and increased commercial and residential construction activities boost the precast concrete market size.
The construction industry benefits from the rise in disposable income of demographics and the substantial spending by the government on huge infrastructural projects. Also, rising numbers of precast concrete manufacturing plants in emerging countries offer a host of lucrative opportunities to construction firms globally in the near future.
Price Volatility and The Demand-Supply Gap in Raw Materials Restrain Market Growth
The precast concrete industry faces significant challenges, such as fluctuating prices and shortages of raw material supply required for production. Also, the introduction of strict environmental norms in several countries could restrain the market growth, slowing down the sales and adoption of precast concrete in the coming years.
The market is segmented into product type, application, end-use, and regions. The product type segment is further bifurcated into floors & roofs, columns and beams, stairs and landing, walls, and others. Based on the application, the precast concrete market is segmented into structural components, architectural components, bridge components, and others.
Based on end-use, the market is segmented into residential, commercial, and infrastructural development. Based on region, the market is segmented into Americas (US, Canada, Mexico, Rest-of-North America), Europe (Germany, UK, France, Italy, and Rest-of-Europe), Asia Pacific (China, Japan, India, South Korea, and Rest-of-the-APAC), and Rest-of-the-World.
The Asia Pacific Market to Maintain its Winning Streak
APAC has always been the market leader and could continue to maintain its winning streak throughout the assessment period. Heightened demand from the burgeoning construction sector and the growth opportunities presented by end-use sectors position APAC among the strongest contenders in the global market. Significant expansion of the prominent end-use industries, including residential construction, non-residential construction, and infrastructural development, drive the precast concrete market growth.
Moreover, lowering interest rates on construction loans and increasing consumer purchasing power propel market growth. Japan, India, and China are the largest market for precast concrete in the region. Rising population and economic growth in the region influence the growth of the APAC precast concrete market.
North America Seizes Second Highest Share in Global Market
North America has captured the second biggest share in the global market. Market growth is driven by the booming construction sector witnessing constant renovation activities in the already well-defined infrastructure. Additionally, the high consumption potential, increasing production capacities, and the well-developed economy boost the regional market's growth. The US and Canada account for major shares in the regional market. Furthermore, increasing green building structures create substantial demand for concrete components.
Players Invest in Expanding Global Footprints to Gain Impetus
The worldwide market appears fragmented due to the presence of several established industry players. Global vendors are increasingly facing fierce rivalry from each other and from local firms, who are growing aware of the regulations and suppliers in the industry. Matured players seek opportunities to deeply integrate across the extended value chain while focusing on the expansion of production facilities, R&D investments, and M&A activities to gain a larger competitive share.
Jensen Precast is one of the largest privately-owned precast concrete companies in the United States. The company is in this business since the last 50 years, and its expertise reflects that singular concentration. Jensen Precast design and manufacture standard, custom precast concrete products that meet large-scale infrastructure demands, such as highway construction, telecommunications, electric & gas utility, retaining walls, water, on-site wastewater, and sewage applications.
Report Overview Scope of the Report
The report features unique and relevant factors expected to significantly impact the precast concrete market during the forecast period. The detailed and considerable amount of information in the report would help industry players understanding the market better. The MRFR report elaborates on the historical and current trends boosting the growth of the precast concrete market. Besides, the analysis of COVID-19 impact on the precast concrete market is also included in the report.
This report examines the demand-supply scenario, pricing structure, profit margins, production, and value chain analysis influencing the precast concrete market growth. Regional assessment explained in this report unlocks a plethora of untapped opportunities in regional and domestic market places. Detailed company profiling in the region enables users to evaluate company shares analysis, emerging product lines, the scope of the product in new markets, pricing strategies, innovation possibilities, and much more.
By Product Type
|Market Size||2025: USD 103,666.1 Million|
|CAGR||5.36% CAGR (2020-2027)|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Product Type, Application, End-use|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Jensen Precast (US), Skanska AB (Sweden), Molin Concrete Products Company Inc. (US), Coreslab Structures (US), Tindall Corporation (US), CRH (US), HeidelbergCement AG (Germany), Coltman Precast Concrete Limited (UK), Metromont Corporation (US), Taiheiyo Cement (Tokyo), SMEET (Qatar), Larsen & Toubro Limited (India)|
|Key Market Opportunities||
|Key Market Drivers||
Frequently Asked Questions (FAQ) :
The global precast concrete market is on its way to be worth the value of USD 103,666.1 Million by 2023.
The precast concrete market has witnessed strong growth backed by the advancing degree of industrialization, urbanization, as well as infrastructural developments. Furthermore, there has been a rapid shift of consumers along with building contractors toward cost-efficient, eco-friendly, and modern building techniques that offers a variety of growth opportunities for the precast concrete market. Other beneficiary factors instrumental in the market growth are the rising disposable income in the developing nations paired with the changing preferences of construction methods which augments the reliance on modern construction techniques.
The global precast concrete market is segmented on the basis of product, application and end-user.
Asia Pacific is leading the market and is projected to grow at the highest rate of 5.52% during the forecast period.
A massive amount of investment in research and developmental activities by the key players has led to new innovations within the market. With many of the market players associated with product diversification and improvement to gain a competitive edge over competitors, the overall market is exhibited to observe a phenomenal growth status in the coming years.
Global Precast Concrete Market- Competitive Landscape
Market Research Future includes following key players for global sandwich panels market research study: Jensen Precast (US), SKANSKA AB (Sweden), Tindall Corporation (US), Molin Concrete Products Company, Inc. (US), Metromont Corporation (US), Coreslab Structures (US), CRH(US), Coltman Precast Concrete Limited (UK), HeidelbergCement AG (Germany), Taiheiyo Cement (Tokyo), SMEET (Qatar), and Larsen & Toubro Limited (India)
The market share analysis is derived by considering various factors such as financial position, segmental R&D investment, product innovations, corporate strength, product portfolio, strategy analysis, and, key innovations in the market among other factors. The major players holding prominent position in the Market are CRH(US), HeidelbergCement AG (Germany), and Taiheiyo Cement (Tokyo), are among others.
According to MRFR analysis, CRH is currently leading the global industrial automation market with 8.75% market share. CRH is one of the global manufacturers of precast concrete and majorly operates in the US. The group carries out manufacturing and distribution in more than 32 countries with over 3,600 location across the operating regions. Its building materials products are offered in all five continents through a distribution network. It focuses on the expansion of its balanced portfolio of varied products with mergers and collaboration with renowned suppliers and distributors.
HeidelbergCement AG is the second largest company offering sandwich panels with 2.64% of the total market share HeidelbergCement is one of the leading manufacturers of building materials in the world. It has presence in about 60 countries of five continents. Its products are used for the construction of residential, commercial and industrial structures. It differentiates its products through high level of customer focus and service quality, and continuous improvement of its products and services.
Taiheiyo Cement (Tokyo) holds the third largest market share of the market with 0.33%. Taiheiyo Cement Corporation is in the business of cement, mineral resources, environmental, and construction materials businesses in Japan and across the world. Its construction materials segment offers precast concrete products, concrete housing products, and, acoustic panels, used in the reduction of construction noise and fireproof covering materials mostly used in tunnels. The company mainly focuses on acquisition of other players for its market growth.