The 2020 Mid-Year Economic Update_long

Global Construction to Grow 70% by 2025

Study: Emerging markets will continue to comprise most of the activity.
Angela

The volume of construction output will grow by more than 70 percent to $15 trillion worldwide by 2025, outpacing global GDP, according to the Global Construction 2025 study by Global Construction Perspectives and Oxford Economics. According to the study, 63 percent of global construction activity will take place in emerging markets, up from 52 percent today.

The study identifies several areas of strong projected growth. China is expected to increase its global share from 18 percent to 26 percent in 2025, after having already overtaken the U.S. in 2010 as the world’s largest construction market. The North American market will see growth of almost 40 percent by 2025, according to the study.

Asian markets are also expected to do well. India is expected to overtake Japan by 2025 as the third-largest construction market, and other Asian markets like Indonesia, Vietnam and the Philippines are becoming increasingly attractive for export-oriented manufacturing. The three countries represent a $350 billion market for construction and are growing at more than 6 percent each year.

“By 2050, there’ll be two billion additional city dwellers,” said Bruno Lafont, chief executive of global building products Lafarge. “Sustainable urbanization will be a major construction challenge.” 

About the Author
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

By subscribing, you are agreeing to MDM’s Privacy Policy.

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to MDM.com
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events

2

articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to mdm.com, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

1

article
left

You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on mdm.com
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.