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Urban Regeneration and Private Sector Investments to Drive the Asia-Pacific Repair Construction Market - Grupo ACS, Vinci S.A., Hochtief AG, Bechtel Corporation, Uretek, Leighton Holdings, Shanghai Construction Group, STRABAG Among the Major Market Players


News provided by

Mordor Intelligence LLP

05 Oct, 2015, 12:00 GMT

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Mordor Intelligence - Logo (PRNewsFoto/Mordor Intelligence)

BANGALORE, October 5, 2015 /PRNewswire/ --

Mordor Intelligence releases their report on the Global Repair Construction Market. The report elucidates the situation of the market around the world and studies the market sectors which include infrastructure, oil & gas, medical, power and mining. The report is also divided by geography - North America, Europe, the Asia-Pacific (APAC), South America and Middle-East & Africa (MEA); where-in the market share of each region is analyzed and estimates are provided for the next 5 years.

     (Logo: http://photos.prnewswire.com/prnh/20150428/740799)

The global Repair Construction Market has been predicted to grow at a CAGR of 8.1% until 2020. The North American market, which has become energy independent over the last 5 years, is predicted to see a gradual slope in growth at 6.4% CAGR due to the falling oil revenues. The Asian markets, which are entirely dependent on oil imports, have a higher potential for penetration and are poised to register a growth of 10.5% CAGR (2015-2020), which is much higher when compared to the growth of 7.6% from 2008 to 2014.

After the 2008 economic slowdown, most of the countries started trimming their budgets and big-ticket items were shelved as a concerted effort to reduce spending. Europe is still recovering with many countries economies still in the red. However, 2013-14 saw a resurgent Europe and North America pulling through and putting their days of economic austerity behind them. Investments started to pour-in into the construction industry and these investments consequentially repaired the industry, which was on a hiatus.

Falling oil prices has been a boon to countries that import oil. The price of crude oil has dropped over 40% this year and as a result, many countries have benefited from the drop in inflation. Reduced spending on oil imports has allowed governments to use oil savings to boost domestic investments.

Get the full report here: Global Repair Construction Market

Asian economies, being one of the top oil guzzlers, have seen a rise in investment and opportunities. India and China have commissioned a surfeit of projects for construction to boost domestic demand and reduce unemployment. Middle Eastern countries, which form the majority of OPEC countries, have huge foreign exchange reserves and can withstand this slump in prices for an extended period. These Middle Eastern countries have stated that there will be no slowdown in domestic investments and are going ahead with their pipelined projects, and have commissioned more. Their strategy for the past decade has been to diversify their economy from crude oil and gas based revenues; research proves that this strategy has paid them off handsomely.

Saudi Arabia, which is the world largest producer and exporter of crude oil, has increased spending in the construction sector. By 2015, the government hopes to have built and/or renovated over 4,000 schools, 50 new technical colleges, 50 higher institutes of technology for women and four teacher training colleges, in order to increase the schooling capacity to over five million and university capacity to 1.7 million students. The government is also developing six new economic cities across the country all requiring extensive new infrastructure. The need for new roads, bridges, homes and other structures is significant; this need provides opportunities for contractors and consultants worldwide to participate in their delivery.

Repair Construction can be segmented by 'Ingredients', 'Submarkets', 'Geographies' and 'Companies.' Ingredients of this market are polyurethane foams, ethylene propylene diene monomer (EPDM), flame-retardants, silicones, adhesive, silicone, green coating, paints & coatings, adhesives & sealants, etc. Geographies of this market are Asia-Pacific, Europe, Middle East, Africa and North America. Companies in this market space are Grupo ACS, Vinci S.A., Hochtief AG, Bouygues S.A., Bechtel Corporation, Uretek, Leighton Holdings, Shanghai Construction Group (SCG), STRABAG and Others.

Market Drivers: 

  1. Economic growth of countries
  2. Social pressure for infrastructure development and maintenance
  3. Urban regeneration and private sector investments
  4. Reconstruction time and raw materials (availability of technology and expertise)

Subscribe to free alerts or browse our comprehensive literature on Chemicals & Materials - http://www.mordorintelligence.com/industry-reports/chemicals-materials

About Mordor Intelligence:   

Mordor Intelligence is a global market research and consulting firm offering in-depth market analysis reports and consulting services.

Media Contact:
Ms. Swathi S Kumar
Email: swathi@mordorintelligence.com
Direct Line: +1-781-300-3838
Website: http://www.mordorintelligence.com

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