Dublin, May 15, 2024 (GLOBE NEWSWIRE) -- The "Canada Construction Market Size, Trend Analysis by Sector, Competitive Landscape and Forecast to 2028" report has been added to ResearchAndMarkets.com's offering.
The construction industry in Canada is expected to decline by 3.1% in real terms in 2024, amid high construction prices, a shortage of skilled labour, monetary tightening, and a fall in building permits. According to Statistics Canada, the total value of building permits issued in the country declined by 8.8% in 2023, with the number for residential buildings falling by 15.4% during that period.
The negative growth is also attributed to the cessation and delays of construction activity of various projects. For instance, in December 2023, the local energy company World Energy GH2, reported that its CAD16 billion ($12 billion) hydrogen plant - which was originally scheduled to be completed by 2025 - is now facing delays due to construction and financing contingencies. The project is now expected to be completed by 2026.
The analyst expects the Canadian construction industry to rebound at an annual average rate of 2.3% during 2025-28, supported by developments in the energy, transport, industrial, and residential sectors. Growth will also be supported by the government's plan to achieve 100% zero-emission vehicle sales by 2035, including interim targets of at least 20% by 2026 and at least 60% by 2030.
In January 2024, the Japanese automobile manufacturer, Honda, reported that it is planning to build an electric vehicle (EV) plant in Ontario, costing a total of CAD18.4 billion ($13.8 billion) by 2028. In another boost to the industry's output, in November 2023, the government launched the CAD2 billion ($1.5 billion) Critical Minerals Infrastructure Fund, aimed at supporting mineral extraction and production in the country and providing funding until 2031. Additionally, in February 2024, the Minister of Energy and Natural Resources announced plans to boost mining activities in the country by slashing the permit time from 12-15 years to 5 years.
The industry's growth over the forecast period will also be supported by investments in public housing projects, in line with the government's target to build 5.8 million houses by 2030. Among the recent developments, in February 2024, the government announced funding of CAD2 billion ($1.5 billion) for financing and accelerating the housing construction.
Previously in December 2023, the Royal Bank of Canada announced CAD9.3 billion ($7 billion) for financing affordable housing construction across Canada. Furthermore, in February 2024, the British Colombia government announced CAD3.9 billion ($2.9 billion) of financing support for boosting the construction of houses throughout the state.
Scope
- Historical (2019-2023) and forecast (2024-2028) valuations of the construction industry in Canada, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants
Reasons to Buy
- Identify and evaluate market opportunities using the analyst's standardized valuation and forecasting methodologies.
- Assess market growth potential at a micro-level with over 600 time-series data forecasts.
- Understand the latest industry and market trends.
- Formulate and validate strategy using the analyst's critical and actionable insight.
- Assess business risks, including cost, regulatory and competitive pressures.
- Evaluate competitive risk and success factors.
Key Topics Covered:
1 Executive Summary
2 Construction Industry: At-a-Glance
3 Context
- 3.1 Economic Performance
- 3.2 Political Environment and Policy
- 3.3 Demographics
- 3.4 Risk Profile
4 Construction Outlook
- 4.1 All Construction
- Outlook
- Latest news and developments
- Construction Projects Momentum Index
- 4.2 Commercial Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.3 Industrial Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.4 Infrastructure Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.5 Energy and Utilities Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.6 Institutional Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.7 Residential Construction
- Outlook
- Project analytics
- Latest news and developments
5 Key Industry Participants
- 5.1 Contractors
- 5.2 Consultants
6 Construction Market Data
7 Appendix
For more information about this report visit https://www.researchandmarkets.com/r/a1wucj
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