According to the latest report by IMARC Group, titled “Prefabricated Building and Structural Steel Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2018-2023”, the global prefabricated building market reached a value of US$ 106.7 Billion in 2017, whereas the global structural steel market was worth US$ 96.1 Billion in 2017. Prefabricated buildings are structures that are constructed off-site by manufacturers and installed at the site depending upon the preferences of the consumers. Prefabricated buildings are considered ideal for operations that require temporary structures, short construction time or comparatively lower building costs. On the other hand, structural steel refers to a construction material made of a particular steel grade, cross section or shape depending on the application. The superior strength, toughness, stiffness and ductile properties of structural steel make it a suitable alternative to wood and concrete for applications in warehouses, refineries, cold storage, industrial sheds and aircrafts.
There has been a significant rise in the number of special economic zones across the globe where new corporate offices are being constructed. Prefabricated buildings are preferred in these zones for their ease of construction and easy setup. Moreover, with robust growth in the construction activities across the globe, builders are looking for convenient alternatives to conventional construction. The consequent demand for prefabricated buildings in the industrial and institutional sectors is providing a thrust to the market growth. However, negative perceptions regarding the strength of prefabricated buildings are impeding the market. Despite this hindrance, the global prefabricated building market is expected to reach a value of US$ 126.3 Billion by 2023, registering a CAGR of about 3% during 2018-2023.
Similarly, the escalating demand for structural steel can be accredited to the increasing awareness among consumers regarding the flexibility of the material. Additionally, it is being used in the construction of both residential and non-residential buildings across several developing regions like India, Middle East, Mexico, etc. Along with this, the rising environmental concerns have prompted the manufacturers to produce technically advanced steel products which are helpful in reducing scraps and waste. However, the market is expected to be negatively affected by high capital expenses as well as expensive corrosion and fireproof treatment of structural steel components. Looking forward, the global structural steel market is expected to reach a value of US$ 117 Billion by 2023, exhibiting a CAGR of around 3.3 % during 2018-2023.
- Currently, floors and roofs are the most popular components used in the prefabricated building market, followed by walls, staircases, and panels and lintels. Whereas, in the structural steel market, H-type beams are the leading component followed by columns, I-type beams and angles.
- The prefabricated building and structural steel market has also been segmented on the basis of end-use sectors which include residential, institutional, commercial and industrial. Amongst these, the residential sector accounts for the majority of the total market share.
- On a geographical front, Asia Pacific enjoys the leading position in the global prefabricated building and structural steel market. This can be attributed to the growth of the infrastructure sector in countries like India, China and Japan. Some of the other major markets include North America, Europe, Middle East and Africa, and Latin America.
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