Global Construction Boom Continues Despite Pandemic

The global construction industry, battered by the COVID-19 pandemic, is showing signs of recovery and growth. A new report by GlobalData reveals that the industry is expected to grow at a CAGR of 3.6% from 2021 to 2025, reaching a value of $10.5 trillion.

Key drivers include infrastructure development, particularly in emerging markets, and a rebound in residential construction. However, the industry faces challenges such as supply chain disruptions and labor shortages.

In Europe, construction output is projected to grow by 2.2% in 2021, led by robust recovery in housing and non-residential building. Meanwhile, in APAC, the market is expected to grow at a CAGR of 5.2% during the forecast period, driven by urbanization and government initiatives.

Sustainability remains a key focus, with increasing demand for green buildings and sustainable materials. The global green building market is expected to grow at a CAGR of 9.7% during 2021-2028, reaching $39.6 billion by 2028.

The industry is also embracing digital transformation, with technologies like BIM, IoT, and AI gaining traction. However, digital adoption is uneven, with some regions and companies lagging behind.

Despite these challenges, the construction industry remains resilient and is poised for growth in the coming years.