Construction in China Market: Focus on Infrastructure Development Likely to Spur Growth

Published on : Dec 13, 2018

Albany, New York, December 13, 2018: Buoyed by the country’s economic growth, China, over the last three decades or so, has managed a mammoth of construction projects which has underpinned its urban environment. However, China’s construction industry in 2017 witnessed a gloomy growth of 4.3% vis-à-vis 8.2% during 2013-2016. This could be attributed to slow economic growth, soaring debt-to-GDP ratios and plunge in fixed assets investment. Meanwhile, there has been rise in the investment in transport, energy and residential infrastructure construction projects. These insights are according to the report titled, “Construction in China—Key Trends and Opportunities to 2022,” which has been freshly added to the repository of Market Research Hub (MRH). Predominantly, construction in China market is set to be powered by 2022 winter Olympic Games.

The construction industry output value in real terms is projected to expand at CAGR of 4.24% during the assessment period (2018-2022). Meanwhile, the industry is trussed by the government’s persistent efforts to propel economic growth by large scale investments. In addition, the government’s initiatives in impelling energy and tourism sectors will shore up the investments towards construction projects. Having said that, hiccups do exist in the construction industry as the battle for supremacy in the form of trade war has heightened between the U.S and China. Moreover, given that Chinese government is reeling to cut down public debt, it is said to further mar the construction industry during the forecast period.

Investment in the construction of nuclear power units will spur China’s utilities and energy construction market as China national nuclear power (CNNP) and Russian state nuclear company—Rosatom signed two accords for the construction of four nuclear power units in the country. Besides, construction industry has been augmented by the massive investment of USD 3.2 trillion (CNY 21.6 trillion) in construction project pipeline.

Construction in China: Report Content

The report furnishes a coherent analysis on the construction industry in China. The report incorporates the growth prospects in the form of project type, market and construction activity. Further, the report sheds some light on the effect of trends and issues of the construction industry. The report talks at length about risk and opportunities in the industry along with assessment on the mega-project pipeline with the breakdown on development stages.

The report segments the market on the basis of commercial, industrial, infrastructure, energy and utilities, institutional and residential. The report also discusses estimated spending on projects in the existing pipeline. The report does the listing of principal projects and provides analysis on the leading consultants and contractors.

The report starts with the Construction outlook followed by drivers and risks of the industry. The report assesses the PED (Political environment, Economic performance and Political environment) of China. The report, then, throws light on each segments through explaining it at length.

Construction in China: Research Methodology

An exhaustive research methodology has been embraced with regards to providing a research approach incorporating of secondary and primary research. The insights in the report is the result of an in-depth secondary research, primary interviews and in-house reviews by panel of experts.

The secondary research incorporates company websites, SEC filings and presentations by investors, industry white paper and statistical database. The primary research embodies face to face interviews, phonic interviews and e-mail interaction. To provide the readers with authentic report, a panel of expert analyzes the data collected from various sources.

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