Thursday, February 29, 2024

Email id: support@kenresearch.com, Contact Us : +91-9871552944

Home Manufacturing And Construction Construction Materials The Rise of Modular Construction in a Dynamic Market

The Rise of Modular Construction in a Dynamic Market

In the ever-evolving landscape of the construction industry, modular construction has emerged as a game-changer, promising efficiency, cost-effectiveness, and sustainable solutions. As business heads and decision-makers navigate the dynamic construction market, understanding the nuances of modular construction becomes paramount. Let’s delve into the world of modular construction, exploring market data, industry trends, and the future outlook for this transformative approach.

Modular Construction Market Overview

The global modular construction market, valued at USD 63.76 billion in 2024, is poised to reach USD 97.13 billion by 2029, reflecting a robust CAGR of 8.78% during the forecast period (2024-2029). The market faced setbacks during the initial phase of the COVID-19 pandemic due to restrictions, but it is witnessing a resurgence driven by increased house sales, new project launches, and rising demand for commercial spaces.

construction market data
                                                                       Construction Market Data

Key Market Trends

1. Industrial/Institutional Sector Dominance

The industrial/institutional sector takes the lead in the modular construction market. Countries like China, Japan, Singapore, and Australia are increasingly adopting modular buildings to address labor and housing shortages, drive industrialization, and promote sustainable construction. Government initiatives globally, such as Singapore’s mandate for prefabricated construction elements, contribute to the sector’s growth.

2. Asia-Pacific Driving Growth

Asia-Pacific emerges as the powerhouse propelling the modular construction market, experiencing the highest growth rate. Factors such as expanding residential and commercial construction, substantial investments in infrastructural projects in India and China, and the focus on affordable housing contribute to the region’s dominance. China, with its colossal construction market, is expected to spend nearly USD 13 trillion on buildings by 2030, solidifying its positive impact on the modular construction market.

Market Analysis by Sectors

1. Residential Construction

Rising urbanization and population, coupled with government initiatives to address housing deficits, position residential construction as a significant sector in the modular construction market.

2. Infrastructure Construction

Investments in transport infrastructure, particularly rail and road infrastructure, fuel the growth of modular construction in the infrastructure sector.

3. Energy and Utilities Construction

Investments in renewable energy, water, and telecommunication infrastructure projects drive the modular construction market’s growth.

4. Commercial Construction

The commercial sector experiences growth through the construction of leisure and hospitality buildings, office spaces, and retail buildings. Expansion in tourism and business activities contributes to this trend.

5. Industrial Construction

A rebound in manufacturing and export activity, coupled with government aims to attract foreign direct investment (FDI) in the manufacturing sector, drives growth in industrial construction.

6. Institutional Construction

Investments in healthcare and educational building projects fuel the growth of institutional construction.

modular construction market
                                                                Modular Construction Market

Asia-Pacific: A Dominant Force

Asia-Pacific leads the modular construction market, propelled by increased residential and commercial construction, substantial infrastructural investments, and a focus on affordable housing. With China’s colossal construction market and India’s plans to spend USD 1.4 trillion on infrastructure through the ‘National Infrastructure Pipeline,’ the region is set to maintain its dominance.

Major Players in the Modular Construction Market

  1. Skanska
  2. Bouygues Construction
  3. WillScot Mobile Mini Holdings Corp.
  4. ATCO Ltd
  5. SEKISUI CHEMICAL CO., LTD

Future Outlook

As the construction industry explores innovative materials and technologies, modular construction stands at the forefront. The adoption of building information modeling (BIM) and potential cost savings further open avenues for growth. With the Asia-Pacific region leading the way, the modular construction market is poised for sustained expansion.

In conclusion, modular construction is not just a trend; it’s a transformative force reshaping the construction landscape. Business leaders embracing this approach can unlock unprecedented efficiency, cost savings, and sustainable construction practices, ensuring they stay at the forefront of industry evolution.

You may read these blogs:

A Comprehensive Overview of the Construction Sector

Dynamics of India Construction Industry

RELATED ARTICLES

Navigating Growth: A Comprehensive Analysis of MSME Market Trends and Statistics

Introduction: The Micro, Small, and Medium Enterprises (MSME) sector is a crucial driver of economic growth globally. In this article, we explore key aspects of...

Unveiling Trends and Opportunities: A Deep Dive into the MSME Market in Change and Configuration Management

Unleashing the Power of Small and Medium Enterprises In the ever-evolving dance of Change and Configuration Management, the spotlight is firmly on the Small and...

How Bio- Rad & Thermo Fisher is elevating US Molecular Weight Marker Market with New Innovations: Ken Research

Buy Now Both companies invest in molecular weight advancements in terms of technology & research & development tools, in a way that ensures the molecular...

Most Popular

Energy Drinks: Soaring Market, Shifting Trends & Future Outlook (USD 60.8 Billion, CAGR 8.51%)

Energy drinks have become a staple for many, providing a quick energy boost to power through busy days or intense workouts. The energy drink...

The Animal Care Industry Growth, Revenue and Statistical Insights

The animal care market is a vital component of global welfare, ensuring the health and well-being of animals across various sectors, including agriculture, companion...

How Effective Are Real Estate Consultancy Services?

In the dynamic realm of real estate, navigating the complexities of the global market requires expertise and insight. Real estate consultancy serves as a...

Can Technology Revolutionize Respiratory Care? Exploring Trends and Solutions

Breathing. It's an essential function we often take for granted, yet it underpins our very existence. When breathing becomes compromised, the respiratory market steps...