Global Construction Industry Databook 2024: Infrastructure Boom will Lead India to Become the Third-Largest Construction Market by 2025 - ResearchAndMarkets.com

The "Global Construction Industry Databook Series - Market Size & Forecast by Value and Volume, Q1 2024 Update" report has been added to ResearchAndMarkets.com's offering.

Investments in new and existing infrastructure, coupled with the evolving energy transition, points towards a robust construction market growth over the long term. The Indian market, especially, is projected to record strong growth due to rising government investment in infrastructure projects. Similar trends are emerging in other regional markets, including in the Southeast Asian region.

In North America and Europe, though, a weakened residential construction sector is expected to dampen the market growth in 2024. Residential building permits have plummeted due to elevated interest rates. The rising construction material costs is also expected to have an impact on other construction sectors in these markets. In the Middle East, though, the residential construction industry is expected to outperform other markets over the medium term. The commercial construction sector is also projected to record strong growth, especially in markets in the Kingdom of Saudi Arabia.

The surge in construction costs, coupled with the lingering subsidy uncertainties, has forced firms like Samsung and LG to suspend their construction projects in the United States. Samsung Electronics invested US$17 billion to build a chip factory in Taylor, Texas. This factory will start making semiconductors for fifth-generation network systems or artificial intelligence (AI) solutions later in 2024. However, it's expected that the firm will end up spending more money due to the rising materials and labor costs in Texas.

• LG Energy Solution decided not to go ahead with their plan to build another battery factory in Indiana with General Motors (GM) for the same reasons. According to data from the U.S. Bureau of Labor Statistics, the cost of construction has increased by a third as of December 2023, compared to three years earlier.
• SK On, a battery company linked to SK Group, is facing financial stress too. The firm partnered with Ford Motor to construct battery plants in Kentucky and Tennessee. However, both companies had to delay starting operations at their second plant in Kentucky. This delay was due to increasing construction expenses and a slowdown in the electric vehicle industry.
• TSMC, the Taiwan-based firm, pushed back the opening of its first factory in Arizona by a year, now aiming for 2025. The firm also postponed the operations of their second factory from 2026 to 2027.

Asian Development Bank partners with Lhoopa to expand green affordable housing in the Philippines

The Asian Development Bank (ADB), in March 2024, entered into a collaboration with Lhoopa Inc. The two firms have agreed to a loan of up to US$20 million to help provide affordable housing for average-income people in the Philippines. This will make life better for them and reduce the nation's housing shortage.

• The financing will help Lhoopa buy, renovate, build, and sell affordable homes, with an average price of PHP 850,000. The affordable units will mainly be for Filipinos who work as drivers, security guards, factory workers, teachers, and office staff. At least 25% of these homes will meet a high standard for green building design.

The Philippine government is forecasting that by 2030, there will be a shortage of about 6.5 million homes. Most of these homes, around 90%, need to cost less than PHP 1.2 million. However, local property developers usually build more expensive condos and estates for wealthier city residents. With ADB's assistance, Lhoopa aims to build 4,000 homes each year by 2025 and 8,000 by 2028, working towards addressing this housing shortage.

The infrastructure boom will lead India to become the third-largest construction market by 2025

The flourishing housing market, coupled with the government's sustained and massive infrastructure push, has driven the construction market growth over the last three to four years. This trend is projected to continue over the medium term in the Indian market, owing to this, the Ministry of Housing and Urban Affairs has stated that the country is set to become the third-largest construction market by 2025.

• In the 2024-25 budget, the finance minister allocated US$134 billion for infrastructure development. This is worth 3.4% of the GDP and is higher than the allocation announced during the 2023-24 budget. Alongside this, the sector is also one of the leading recipients of foreign direct investment (FDI).
• In 2024, mega construction projects such as the GIFT City in Gujarat, the Surat DREAM City, and the Dholera SIR are expected to aid the infrastructure sector growth. Furthermore, projects like the Bengaluru-Mumbai economic corridor and the Delhi-Mumbai industrial corridor will also support the broader industry growth over the medium term.

Large investments in the renewable energy sector will also aid the construction market growth in India in 2024. Several infrastructure projects, announced by the government, spanning across the states of Jammu and Kashmir, Tamil Nadu, and Uttar Pradesh further indicate the government's commitment to ongoing infrastructure development in the Indian market.

This report provides data and trend analyses on Global construction industry, with over 100 KPIs. This is a data-centric report and it provides trend analyses with over 1,500+ charts and 1,200+ tables. It details market size & forecast, top cities construction data, emerging trends, market opportunities, and investment risks in over 40 segments in residential, commercial, industrial, institutional, and infrastructure construction sectors.

This title is a bundled offering, comprising 15 country reports. Each country report covers the following modules:

• Market Dynamics by Value, Volume, and No. of Units: Provides a comprehensive data-centric view of size and structure, industry dynamics, and end market opportunities in the building and infrastructure construction industry.
• Residential Construction Outlook: Provides market analysis by type of construction, development stage, price point, and key cities. KPIs include value, volume and number of units.
• Commercial Construction Outlook: Provides construction outlook by value and volume across office buildings, retail buildings, hospitality buildings, restaurant buildings, and sports facilities.
• Institutional Construction Outlook: Provides construction outlook by value and volume across manufacturing plant buildings, metal & material processing buildings, chemical & pharmaceutical buildings.
• Industrial Construction Outlook: Provides construction outlook by value and volume across manufacturing plants, educational buildings.
• Infrastructure Construction Outlook: Provides growth dynamics and market analysis by three key sections such as marine and inland, utility system and transport infrastructure construction.
• City Level Analysis: Provides outlook of top 10 cities by construction value for each country.

Report Scope

This report provides market size and forecast across 40+ construction segments for a period of 10 years from 2019 - 2028.

KPIs covered include the following:

• Market size by value
• Market size by volume of construction
• Number of units
• Economic Indicators

Top Cities Construction Data

Residential Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by

• Housing type
• Key cities
• Price point/income level
• Construction stage

Residential Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by

• Green building by Housing type
• Green building by Key cities
• Green building by Price point/income level

Commercial Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by

• Office
• Retail
• Hospitality
• Restaurant
• Entertainment
• Sports facility
• Other commercial building construction
• Construction stage

Commercial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by

• Office green building construction
• Retail green building construction
• Hospitality green building construction
• Restaurant green building construction
• Entertainment green building construction
• Sports facility green building construction
• Other commercial green building construction

Industrial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units)

• Manufacturing Plants building construction
• Chemical & Pharmaceutical building construction
• Metal & Material Processing building construction
• Construction stage

Institutional Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by

• Healthcare construction
• Educational construction
• Other building construction
• Construction stage

Institutional Green Building Construction Coverage: 10-year market size & forecast in value and volume terms by

• Healthcare green building construction
• Educational green building construction

Infrastructure Construction Sectors: 10- year market size & forecast in value terms by

• Marine and inland water infrastructure
• Utility system construction
• Transportation infrastructure
• Construction stage

Green Infrastructure Construction: 10- year market size & forecast in value terms

Construction Cost Structure Analysis: 10- year market size & forecast in value terms

• Cost Analysis by Type
• By Material & Work Cost: It provides the cost outlook of material costs by type of materials used in construction
• By Labour Cost: It provides the cost outlook of labour costs
• By Type of Construction
• By Material Cost: It provides the cost outlook of material costs by type of materials used in construction
• Type of Labour

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