Shorter project schedules, housing shortage, and construction financing requirements drive modular construction market growth

Global modular construction market

DUBLIN, April 26, 2024 (Globe Newswire) — By type (permanent, relocatable), by module, by material (wood, steel, concrete), by end-use industry (residential, office, education, Added “Global Modular Building Market” by Commercial, Hospitality, Healthcare), Regions – Forecast to 2029 report ResearchAndMarkets.com Recruitment.

The global modular construction market size is projected to grow from USD 104.1 billion in 2024 to USD 140.8 billion by 2029, at a CAGR of 6.2% during the forecast period. Shrinking project schedules, housing shortage in many regions, need for construction financing, and labor shortage are the factors driving the growth of the modular construction market.

By type, permanent modular construction segment accounts for major market share

Permanent modular construction dominates the modular construction market due to its versatility, durability, and suitability for various architectural applications. Unlike relocatable modular construction, which is often used for temporary structures, permanent modular construction offers a long-term solution with greater design flexibility and customization options. The consistent standards of safety, quality and durability associated with permanent modular construction make it the preferred choice for developers and clients seeking reliable building solutions.

By material, steel will account for the highest growth rate during the forecast period.

Steel is the fastest growing segment of the modular construction market due to several important advantages. First, steel is incredibly strong and durable, offering excellent structural integrity and resistance to environmental factors such as moisture, pests, and fire. This strength allows steel to be used to build larger, more complex structures, expanding the scope of modular construction projects. Additionally, the lightweight nature of steel makes the modular components easier to transport and assemble, reducing construction time and costs.

Additionally, steel is highly versatile and can be easily customized to meet specific design requirements, giving architects and developers greater flexibility in their projects. Finally, steel is a sustainable building material. They are often made from recycled materials and are fully recyclable at the end of their useful life, increasing the emphasis on environmentally friendly construction practices. These advantages have collectively contributed to the rapid growth of steel in the modular construction market, making it the preferred choice for many developers and builders.

By end-use industry, residential segment accounts for the highest CAGR during the forecast period

The residential segment is experiencing rapid growth in the modular construction market due to several factors. The growing demand for affordable housing solutions, especially in urban areas, is driving the adoption of modular building technologies that provide cost-effective and efficient building solutions. Additionally, modular construction reduces project completion times compared to traditional methods, allowing developers to meet pressing housing needs more quickly.

Regionally, the modular construction market in Asia Pacific is projected to grow at the highest CAGR during the forecast period.

Asia Pacific is expected to expand at the highest CAGR from 2024 to 2029. Factors such as easy and complete access to raw materials, labor and advanced technology are driving economic development in the Asia-Pacific region. Additionally, rapid urbanization and industrialization in countries such as China, Japan, and India have increased manufacturing and construction activities, resulting in increased demand for modular construction.

This report provides insights such as:

• The main drivers (investments in the infrastructure industry, improved work area safety, building sustainability), constraints (risk of transportation and assembly problems in modular construction), opportunities (increasing number of construction projects) Leading population growth and urbanization), and analysis of challenges (lack of professionals in the market) influence the growth of the modular construction market.

• Product Development/Innovation: Detailed insights into upcoming technologies, research and development activities, and new product and service launches in the modular construction market

• Market Development: Comprehensive Information on Profitable Market – This report analyzes the Modular Construction Market across various regions.

• Market Diversification: Thorough information on new products and services, untapped regions, recent developments, and investments in the Modular Construction Market

• Competitive assessment: Detailed market share, growth strategies, and service offerings of key players in modular construction, including Laing O'Rourke, Red Sea Housing, ATCO, Skanska, Modular Group, Bechtel, Fluor, Lendlease, and Kroisberg. evaluation market. The report also helps stakeholders understand the Modular Construction market trends and provides information on key market drivers, restraints, challenges, and opportunities.

Key attributes:

Main topics covered:

executive summary

• Permanent modular segment to lead market by 2029

• Timber leads modular construction market during forecast period

• Healthcare sector will grow fastest during forecast period

• Modular construction market to be led by Asia Pacific in 2023

premium insights

• Asian economies witness relatively high growth rate of modular construction market – Attractive opportunities for players in modular construction market

• Asia-Pacific: Modular Building Market, by Type and Material, 2023 – Permanent Modular Buildings to Account for Larger Share by Volume

• Asia-Pacific: Modular Construction Market by End-Use Industry and Country, 2023 – Residential accounts for largest share by volume

• Modular Building Market, By Country – China's Modular Building Market Grows At Highest CAGR

Key market trends

driver

• The need for time-saving and cost-effective construction

• Investment in infrastructure industry

• Increase work area safety and build sustainability

• Ease of relocation of modular buildings

• Supportive government efforts

restraints

opportunity

• Increase in construction projects due to population growth and urbanization

• Increased demand for luxury homes and high-rise buildings

• Housing crisis in developed countries

assignment

case study analysis

• Modular construction manufacturer helps build schools faster

• Leading modular construction company helps pharmaceutical company provide temporary space

• Modular construction for sustainable hospital complexes

Introduced companies

• laine o'rourke

• red sea international

• Scanza

• Atco Co., Ltd.

• module group

• Kleusberg GmbH & Co. KG

• Lendlease Co., Ltd.

• Bechtel Corporation

• Fluor Co., Ltd.

• bouygues construction

• Vinci SA

• Kwikspace modular building

• Westchester Modular Homes, Inc.

• Warnick Group Limited

• Coma modular

• elements europe

• premier modular

• Arho Group

• invest wood

• wide group

• Mighty Buildings Co., Ltd.

• Factory_O

• Brocable Co., Ltd.

• modulus

• Nexii Building Solutions

• dubox

• connect home

• Gurdon LLC

For more information on this report, please visit https://www.researchandmarkets.com/r/ealgq6.

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