Construction will outpace world GDP growth in the next decade as Asian markets continue to develop rapidly and the US registers a sharp cyclical recovery, according to a global forecast for the construction industry over the next decade to 2020. Global Construction 2020 provides global and regional forecasts for infrastructure, residential and non-residential markets and analyses market dynamics in 45 key countries.
The report's authors expect global construction to grow by 67% from $7.2 trillion today to $12 trillion in 2020. Growth in China, India and the US will generate 54% of the $4.8 trillion increase in global construction output. A total of $97.7 trillion will be spent on construction globally during the next decade and by 2020 construction will account for 13.2% of world GDP.
This resumption of growth will be marked by an acceleration of changes that were taking place before the financial crisis. The next decade will see a continuing shift towards Asia and other emerging markets where rising populations, rapid urbanisation and strong economic growth are drivers for construction. Meanwhile, construction in most developed countries will be constrained by large public deficits, austerity programmes, muted population growth and limited economic expansion.
Global Construction 2020 includes contributions from PwC on global transport infrastructure, Pinsent Masons LLP on the nuclear energy ambitions of China, the United Nations on global environmental opportunities for construction and a contribution by UKTI on the impact of global sports events on construction around the world.
Download a copy of the Executive Summary here. Visit www.globalconstruction2020.com for further information on how to get the full report.
