Saudi Arabia Construction Aggregates Market

Saudi Arabia Construction Aggregates Market Overview:

The Saudi Arabia construction aggregates market size reached USD 11,370.58 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 18,726.54 Million by 2033, exhibiting a growth rate (CAGR) of 5.70% during 2025-2033. The market is driven by Vision 2030-led giga-projects, which require vast quantities of aggregates for large-scale infrastructure and urban development. Additionally, the expansion of transportation networks and affordable housing programs under Sakani further stimulates demand for sand, gravel, and crushed stone. Growing emphasis on sustainable construction, supported by recycling initiatives and green regulations, will further augment the Saudi Arabia construction aggregates market share.

Saudi Arabia Construction Aggregates Market Trends:

Increasing Demand for Construction Aggregates Driven by Vision 2030 Projects

The market is experiencing significant growth due to the rising demand for infrastructure and urban development projects under Vision 2030. The government’s focus on diversifying the economy has led to massive investments in giga-projects such as the Red Sea Project, NEOM, and Qiddiya, all of which require substantial quantities of construction aggregates, including sand, gravel, and crushed stone. Additionally, the expansion of transportation networks, including roads, railways, and airports, further fuels demand. The Kingdom’s push for affordable housing under the Sakani program also contributes to the increased consumption of aggregates. Saudi Arabia's housing supply is expected to grow to 3.9 million units by 2028 from its existing 3.5 million units, driven by initiatives such as Sakani and Wafi, along with a national rate of homeownership at 63.7% in 2023. Riyadh needs an extra 305,000 houses, while apartment prices have appreciated by 75% to SAR 5,780 (approximately USD 1,540.95) per square meter and villa prices by 40% to SAR 5,190 (approximately USD 1,383.65) per square meter since 2019. This growth in residential development makes advanced construction aggregates more critical for Saudi Arabia's expanding urban centers. With these large-scale developments, the market is expected to witness steady growth over the next decade. Companies are investing in advanced crushing and screening technologies to meet the rising demand while adhering to sustainability standards.

Shift Toward Sustainable and Recycled Aggregates

The escalating global environmental concerns and local regulatory pressures are significantly supporting the Saudi Arabia construction aggregates market growth. Saudi Arabia is at the forefront of green construction in the Arab world, with 2,000 out of a total of 5,000 projects, driven by rapid population growth and sustainable urban development. The green building industry in the Kingdom is projected to grow to USD 16.4 Billion in 2024 and USD 33 Billion in 2030, tremendously escalating demand for sustainable and low-energy materials. Aramco's USD 1.5 Billion sustainability fund and a fresh memorandum of understanding with the Saudi Contractors Authority signify investment in supporting green construction technology and training. The government is encouraging the use of recycled construction and demolition (C&D) waste to reduce landfill dependency and lower carbon emissions. Several initiatives, such as the Saudi Green Initiative, promote eco-friendly construction practices, leading to higher adoption of recycled aggregates in infrastructure projects. Additionally, advancements in recycling technologies enable the production of high-quality aggregates from demolished concrete and asphalt, offering cost-effective alternatives to virgin materials. Major construction firms are increasingly incorporating recycled aggregates to align with sustainability goals and comply with new regulations. This shift not only supports environmental conservation but also enhances resource efficiency in the construction sector. As awareness grows, the demand for sustainable aggregates is expected to rise, shaping the future of the market.

Saudi Arabia Construction Aggregates Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country and regional levels for 2025-2033. Our report has categorized the market based on type and application.

Type Insights:

• Crushed Stone
• Sand and Gravels
• Recycled Aggregates
• Others

The report has provided a detailed breakup and analysis of the market based on the type. This includes crushed stone, sand and gravels, recycled aggregates, and others.

Application Insights:

• Commercial
• Residential
• Industrial
• Infrastructure

A detailed breakup and analysis of the market based on the application have also been provided in the report. This includes commercial, residential, industrial, and infrastructure.

Regional Insights:

• Northern and Central Region
• Western Region
• Eastern Region
• Southern Region

The report has also provided a comprehensive analysis of all the major regional markets, which include Northern and Central Region, Western Region, Eastern Region, and Southern Region.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Saudi Arabia Construction Aggregates Market News:

• October 14, 2024: City Cement, through its subsidiary Nizak Mining, partnered with UK-based company Next Generation SCM to develop the first calcined clay supplementary cementitious material (SCM) production unit in Saudi Arabia. Scheduled to begin mass production in the third quarter of 2025, the Riyadh plant will produce 350,000 tons of low-carbon concrete per annum, with plans to expand its capacity. The program aligns with Saudi Arabia's Vision 2030 and aims to reduce CO2 emissions related to concrete production significantly, marking a major milestone towards green building materials.
• September 25, 2024: Saudi Aramco signed a five-year cooperative framework agreement with China National Building Material Group (CNBM) to explore innovations in low-carbon construction materials and advanced construction methods. The collaboration includes the setup of manufacturing plants in Saudi Arabia for the manufacture of wind turbine blades, hydrogen storage tanks, and energy storage solutions, with the aim of reducing construction-related emissions. This partnership is evidence of Saudi Arabia's growing commitment to driving sustainable construction aggregates and materials.

Saudi Arabia Construction Aggregates Market Report Coverage:

Key Questions Answered in This Report:

• How has the Saudi Arabia construction aggregates market performed so far and how will it perform in the coming years?
• What is the breakup of the Saudi Arabia construction aggregates market on the basis of type?
• What is the breakup of the Saudi Arabia construction aggregates market on the basis of application?
• What is the breakup of the Saudi Arabia construction aggregates market on the basis of region?
• What are the various stages in the value chain of the Saudi Arabia construction aggregates market? 
• What are the key driving factors and challenges in the Saudi Arabia construction aggregates market?
• What is the structure of the Saudi Arabia construction aggregates market and who are the key players?
• What is the degree of competition in the Saudi Arabia construction aggregates market? 

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 Saudi Arabia construction aggregates market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Saudi Arabia construction aggregates market.
• Porter's five forces analysis assist 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 Saudi Arabia construction aggregates industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.