Precast Concrete Market

Precast Concrete Market Size:

The global precast concrete market size reached US$ 128.5 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 195.4 Billion by 2032, exhibiting a growth rate (CAGR) of 4.6% during 2024-2032. Rapid urbanization and infrastructure development, recent technological advancements, rising emphasis on environmental sustainability, and the imposition of supportive government policies are some of the major factors propelling the market share.

Precast Concrete Market Analysis:

• Major Market Drivers: Rapid urbanization and infrastructure development activities as well as the growing focus on reducing construction time and costs are major market drivers.
• Key Market Trends: The rising popularity of modern construction techniques is a key market trend. Furthermore, the adoption of eco-friendly and sustainable building materials is becoming increasingly prominent in the industry.
• Geographical Trends: Asia Pacific is leading the precast concrete market growth due to the growth of the construction industry. In 2014, China dominated the Asia Pacific construction sector, accounting for about half of total output. According to the Fortune China 500 list in 2015, China State Construction Engineering (CSCEC) ranked first among the top Chinese construction enterprises, with an annual revenue of over 800 billion yuan in 2014.
• Competitive Landscape: Balfour Beatty plc, Boral Limited, and CEMEX S.A.B. de C.V. are some of the key market players.
• Challenges and Opportunities: The high initial investment costs and the regulatory requirements are some of the challenges. On the other hand, rapid technological advancements are offering numerous opportunities for the market.
   

Precast Concrete Market Trends:

Expanding construction industry

The market is expected to be driven by the expanding construction industry across major countries due to increasing investments in infrastructure development. Rising disposable income levels in developing as well as developed regions are expected to bolster the residential construction segment, thereby fostering precast concrete demand. In addition, increasing initiatives by various governments worldwide for the development of their respective economies are also expected to expand the construction industry, supporting demand for precast concrete in the years to come. The global construction industry is witnessing rapid technological advancements and architectural innovation. Commercial and residential projects are undergoing transformation to comply with construction standards and specifications. Besides, rising product applications in architectural design and renovations of old buildings are also contributing to the market growth.

Increasing prominence of offsite construction and advantages of precast concrete

The process of assembling civil structural components at a production facility and then transporting them to the construction site is called offsite production, sometimes referred to as prefabrication. Prior to being utilized in construction, the precast concrete undergoes a casting and hardening process. As it saves time and uses less material, offsite construction is one of the most prominent end-use industries. The main factor for choosing precast concrete over traditional concrete materials is its advantages. Compared to cast concrete that is placed on site, precast concrete provides a number of advantages in the infrastructure. The primary benefit is the exceptional quality of the concrete. These factors are essential for the effective manufacturing of precast concrete. Its ability to expedite construction, saving up to one-third of the overall time needed for construction, is another benefit. Additionally, as the precast structure can be readily replicated in the structural system, designing a precast concrete structure doesn't take any longer than designing a masonry structure. All these advantages offer numerous precast concrete market recent opportunities.

Rapid urbanization and population growth

Rapid urbanization and the rising population are fostering market growth. The increased demand for non-residential buildings like airports, sports complexes, malls, and commercial spaces will impact the supply chain due to the faster and more cost-effective construction process. The demand for precast concrete will accelerate further due to the expanding population's increasing need for residential space and the rising government's initiatives to provide housing for the Economically Weaker Section (EWS). The product use in offices and other commercial spaces has also escalated due to increased urbanization activities brought on by the pursuits for better career opportunities. This, in turn, is creating a positive precast concrete market outlook.

Precast Concrete Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2024-2032. Our report has categorized the market based on type, product, and end use.

Breakup by Type:

• Floors and Roofs
• Columns and Beams
• Stairs and Landing
• Walls
   

Columns and beams dominate the market

The report has provided a detailed breakup and analysis of the market based on the type. This includes floors and roofs, columns and beams, stairs and landing, and walls. According to the report, columns and beams represented the largest segment.

As columns and beams are getting widely used in a variety of residential, commercial, and infrastructure construction applications, it is anticipated that this segment will witness growth at a high rate throughout the precast concrete market forecast period. The growing population has led to an increase in public and private investments in the construction of commercial spaces, residential structures, and bridges. This is expected to promote the growth of the market. Precast concrete columns and beams also provide excellent durability, can handle large weights, speed up construction, and minimize labor expenses on the job site. In the upcoming years, it is projected that these factors will further encourage the growth of precast concrete elements, such as columns and beams used in construction applications, and boost the efficiency of construction operations.

Breakup by Product:

• Structural Building Components
• Architectural Building Components
• Transportation Products
• Water and Waste Handling Products
• Others
   

Structural building components hold the largest share in the market

A detailed breakup and analysis of the market based on the product have also been provided in the report. This includes structural building components, architectural building components, transportation products, water and waste handling products, and others. According to the report, structural building components accounted for the largest market share.

According to the precast concrete market report, structural building components are dominating the market. The structural building components segment is anticipated to grow at the fastest CAGR. The increasing demand from the construction industry is the main reason behind this growth. Besides, rapid industrialization and the expansion of hotels, shopping centers, and hospitals will probably drive the demand for structural construction components. Growing usage of structural building elements in low-cost housing is projected to bolster the market's expansion. Furthermore, it is anticipated that rising middle-class population growth and the resulting demand for affordable homes will increase product demand and expand the precast concrete industry.

Breakup by End-Use:

• Residential
• Non-Residential
   

Non-residential holds the maximum share in the market

A detailed breakup and analysis of the market based on the end-use have also been provided in the report. This includes residential and non-residential. According to the report, non-residential accounted for the largest market share.

Based on end-use, the non-residential segment dominated the precast concrete market overview. Precast concrete is witnessing strong growth prospects due to large investments in real estate development and infrastructure. The focus on the non-residential sector and infrastructure development, especially in developing countries, has led to significant government- and private-led investments in these areas. The off-site casting, curing, and delivery of the precast concrete constructions occur when needed. It also only needs a small number of workers, and small cranes are needed for installation. These benefits in the non-residential segment are projected to propel market demand over the forecast period.

Breakup by Region:

• North America
  • United States
  • Canada
• Asia-Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

Asia Pacific leads the market, accounting for the largest precast concrete market share

The market research report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, Asia Pacific represents the largest regional market for precast concrete.

Asia Pacific is dominating the market. Rapid economic growth of developing countries including India, Indonesia, and Malaysia is anticipated to propel growth further. Stringent regulations that restrict the emission of CO2 gas are likely to accelerate product demand, which causes less pollution. Moreover, the rapid growth rate of the industrial sector is likely to support the precast concrete market recent developments. The demand for precast concrete is also expected to witness rapid growth due to the shifting preferences of building contractors and customers toward sustainable and modern construction solutions.

Competitive Landscape:

The market research report has provided a comprehensive analysis of the competitive landscape. Detailed profiles of all major companies have also been provided. Some of the key players in the market include:

• Balfour Beatty plc
• Boral Limited
• CEMEX S.A.B. de C.V.
• Elementbau Osthessen GmbH & Co. ELO KG
• Forterra Inc.
• Gulf Precast Concrete Co LLC
• Holcim Group
• Laing O’Rourke
• Olson Precast Company
• Spancrete Inc. (Wells Concrete)
• Tindall Corporation
   

(Please note that this is only a partial list of the key players, and the complete list is provided in the report.)

The market is expanding at a faster rate and is also fragmented. There are a number of well-known precast concrete companies in the market that are present throughout various regions. These well-known manufacturers compete on the basis of product quality and pricing in an effort to increase their applications in the construction of residential and other structures. Additionally, these players are focusing on entering into long-term contracts with other players in the precast concrete industry in order to become more competitive. Smaller companies in the market also use these strategies in an effort to gain a strong position in the industry. The key players are also adopting merger and acquisition strategies to expand their market reach and contribute to precast concrete market revenue. For instance, the Polish supplier of precast concrete solutions, HM Factory, was acquired by Holcim in February 2023. The acquisition will help Holcim reach its target of growing its Solutions & Products segment's revenue to 30% of the company's total net sales by 2025.

Precast Concrete Market News:

• May 1, 2024: Boral Limited announced the completed acquisition of Booyal Quarries in Queensland, a 75-hectare hard rock quarry located 60km southwest of Bundaberg in the Wide Bay region.
• May 9, 2024: Cemex and the Mission Possible Partnership (MPP), in partnership with the Bezos Earth Fund, are collaborating to conduct an analysis of the potential of decarbonization levers at Cemex’s Balcones cement plant in Texas.
• August 21, 2023: Forterra Inc. announced the launch of its Community Restoration Grants program, which focuses on funding local new or ongoing restoration, promoting native plant diversity, and engaging residents in environmental issues.

Precast Concrete Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the precast concrete market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the global precast concrete market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the precast concrete industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.