Modular Construction Market Size, Share, Trends, Growth, and Industry Analysis, By Material (Concrete, Steel, Plastic, Wood and Other), By Construction (Permanent Modular, and Relocatable Modular), By Product (Walls, Roofs & Floor, Columns & Beams and Others), By Application (Residential, Commercial, Industrial), Regional Insights and Forecast to 2031
Global Modular Construction Market size was USD 154.6 billion in 2022 and is predicted to reach USD 286.2 billion in 2031, exhibiting at CAGR of 11.1% during the forecast period.
Modular construction Market is a process in which the off-site construction of a building is completed using the same design, standards, and materials. The buildings are constructed in modules, which are then put together on site. The modular construction creates fewer site disturbances and generates less waste as compared to traditional construction. Furthermore, modular buildings can be easily disassembled, refurbished, and relocated for use as new modular homes, reducing the demand for raw materials as well as the energy required to construct new buildings.
The global modular construction market has great success and enormous growth. The market's growth resembles industrialization and urbanisation across in the globe. Furthermore, the global modular construction market has witnessed large investment growth in the last few years. The growth of the market we can witness today is because of the high investment in the construction sector. Furthermore, the world's growing population persuaded the construction industry to ramp up its infrastructure development efforts. However, the growing number of government initiatives and schemes adopting the manufacturing technique will likely offer more opportunities to market players worldwide.
The launch of modular houses Construction News has learned that Project Etopia has stopped conducting business in the development sector. The company has laid off its final personnel from the development division as it shifts its emphasis to the production of modular construction panels. The business fired members of its planning team earlier this year and also made layoffs in the sales department in the past few weeks. Project Etopia focuses on 2D modular construction, which requires finishing projects offsite before bringing them onsite. For instance, the components might already have windows, doors, external cladding, or internal lining. In contrast, 3D modular refers to larger systems in which components are manufactured in advance and assembled on location.
Scope of the Report
The modular construction market involves the delivery and assembling of pre-fabricated, engineered building units at the construction site. The volumetric building modular units are usually in the form of highly serviced units, such as kitchens, toilets, complete rooms, bedrooms, halls, or parts of a room. The construction process of modular buildings is faster than the conventional process because it requires less time. Furthermore, other advantages associated with modular construction include greater flexibility, improved air quality, and a reduced construction schedule. The modular construction market is segmented by construction, material, end-user industry, application, and region. By construction, the market is segmented into two types: permanent modular and relocatable modular. By material, the market is segmented into steel, concrete, wood, plastic, and others. By application, the market is segmented into commercial, industrial/institutional, and residential. The report also covers the market size and forecasts for the modular construction market in 15 countries across the major regions, and for each segment, market sizing and forecasts have been done based on revenue (USD million).
REPORT SCOPE & SEGMENTATION:
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Report Attribute |
Details |
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Projected Market Value (2031) |
286.2 billion |
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Estimated Market Value (2022) |
154.6 billion |
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Base Year |
2022 |
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Forecast Years |
2023 - 2031 |
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Scope of the Report |
Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment- Material, Construction, Product, Application and Region |
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Segments Covered |
By Material type, By Construction type, By Product type, By Application and Region |
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Forecast Units |
Value (USD Billion), and Volume (Units) |
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Quantitative Units |
Revenue in USD million/billion and CAGR from 2023 to 2031 |
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Regions Covered |
North America, Europe, Asia Pacific, Latin America, and Middle East & Africa, and Rest of World |
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Countries Covered |
U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Argentina, GCC Countries, and South Africa, among others |
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Report Coverage |
Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST analysis, value chain analysis, regulatory landscape, market attractiveness analysis by segments and region, company market share analysis, and COVID-19 impact analysis. |
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Delivery Format |
Delivered as an attached PDF and Excel through email, according to the purchase option. |
Market Dynamics
The demand for construction is increasing as industrialization and urbanisation increase. Infrastructure investments have increased over the last few years. Rising infrastructure investments are a crucial driver for the modular construction market. The population in the urban area is surging every year. It is a crucial requirement to offer comfortable living and professional places to urban citizens. Rapid urbanisation is the main driver of the modular construction industry.
The adoption rate of the lean manufacturing technique provides many growth opportunities for the market. The adoption of these techniques can offer permanent and durable modular buildings. Also, the adoption of this construction technique provides profitability and other benefits to the market. Plenty of verticals will offer exceptional investment opportunities, and using these techniques in modular building will create plenty of growth prospects. This growth opportunity will ultimately benefit the overall modular construction market forecast.
Lack of dependability in earthquake-prone areas, as well as a scarcity of skilled labor, can be major issues. for market growth Due to the lightweight module units and how they are put together, modular structures can fail. There are many things that are not good during earthquakes, including Due to the precast frame panels, the modular construction structures cannot stand up to a big earthquake. Also, roofs and walls made oflight Wood or metal can bend and deform in an earthquake because they are not as rigid as they used to be. So, modular construction is less common in places where there are a lot of earthquakes. The growth of the market is slowed down by the fact that people are afraid of modular construction technology.
The rise in industrialization and urbanization is a driving factor as well as a challenge for the modular construction market. The rising rate of urbanization puts more demand on building construction. Also, the requirement to make efficient use of space and money is difficult in the modular construction market. The need to create innovative buildings for every modular construction is difficult in this market. With the modular construction, the customers requires uniqueness in the building's construction.
Regional Analysis
Asia-Pacific is expected to dominate the global modular construction market during the forecast period. This is attributed to increased construction activities as a result of rising demand from the residential and commercial sectors. Furthermore, proactive government initiatives to promote eco-friendly housing result in an increase in demand for modular buildings.
North America accounted for the second-largest revenue share in the global market in 2022 and is expected to register a significantly faster revenue growth rate over the forecast period, owing to increasing oil and gas exploration and production in the region. The use of modular fabrication in the oil and gas industry is increasing due to a number of benefits, which include shortened project timelines, cost-effectiveness, better quality, and improved safety over the traditional method of facility development.
In Europe, supportive government initiatives in the U.K. are further expected to result in the growth of the market. For example, the United Kingdom government's accelerated construction programmes and home building fund encourage innovators to develop land for housing, including modular projects, creating a positive impact on construction and fabrication providers and their clients' perceptions of modular construction. Also, the government has planned to achieve a 50% reduction in greenhouse gas emissions, which will bode well for the implementation of green modular infrastructure.
Competitive Landscape
The global Modular Construction Market Some of the major companies include: -
key developments in the market:
Market Segmentations
By Material
By Construction
By Product
By Application
Market Regional Outlook
Research Methodology
Our research methodology has always been the key differentiating reason which sets us apart in comparison from the competing organizations in the industry. Our organization believes in consistency along with quality and establishing a new level with every new report we generate; our methods are acclaimed and the data/information inside the report is coveted. Our research methodology involves a combination of primary and secondary research methods. Data procurement is one of the most extensive stages in our research process. Our organization helps in assisting the clients to find the opportunities by examining the market across the globe coupled with providing economic statistics for each and every region. The reports generated and published are based on primary & secondary research. In secondary research, we gather data for global Market through white papers, case studies, blogs, reference customers, news, articles, press releases, white papers, and research studies. We also have our paid data applications which includes hoovers, Bloomberg business week, Avention, and others.
Data Collection
Data collection is the process of gathering, measuring, and analyzing accurate and relevant data from a variety of sources to analyze market and forecast trends. Raw market data is obtained on a broad front. Data is continuously extracted and filtered to ensure only validated and authenticated sources are considered. Data is mined from a varied host of sources including secondary and primary sources.
Primary Research
After the secondary research process, we initiate the primary research phase in which we interact with companies operating within the market space. We interact with related industries to understand the factors that can drive or hamper a market. Exhaustive primary interviews are conducted. Various sources from both the supply and demand sides are interviewed to obtain qualitative and quantitative information for a report which includes suppliers, product providers, domain experts, CEOs, vice presidents, marketing & sales directors, Type & innovation directors, and related key executives from various key companies to ensure a holistic and unbiased picture of the market.
Secondary Research
A secondary research process is conducted to identify and collect information useful for the extensive, technical, market-oriented, and comprehensive study of the market. Secondary sources include published market studies, competitive information, white papers, analyst reports, government agencies, industry and trade associations, media sources, chambers of commerce, newsletters, trade publications, magazines, Bloomberg BusinessWeek, Factiva, D&B, annual reports, company house documents, investor presentations, articles, journals, blogs, and SEC filings of companies, newspapers, and so on. We have assigned weights to these parameters and quantified their market impacts using the weighted average analysis to derive the expected market growth rate.
Top-Down Approach & Bottom-Up Approach
In the top – down approach, the Global Batteries for Solar Energy Storage Market was further divided into various segments on the basis of the percentage share of each segment. This approach helped in arriving at the market size of each segment globally. The segments market size was further broken down in the regional market size of each segment and sub-segments. The sub-segments were further broken down to country level market. The market size arrived using this approach was then crosschecked with the market size arrived by using bottom-up approach.
In the bottom-up approach, we arrived at the country market size by identifying the revenues and market shares of the key market players. The country market sizes then were added up to arrive at regional market size of the decorated apparel, which eventually added up to arrive at global market size.
This is one of the most reliable methods as the information is directly obtained from the key players in the market and is based on the primary interviews from the key opinion leaders associated with the firms considered in the research. Furthermore, the data obtained from the company sources and the primary respondents was validated through secondary sources including government publications and Bloomberg.
Market Analysis & size Estimation
Post the data mining stage, we gather our findings and analyze them, filtering out relevant insights. These are evaluated across research teams and industry experts. All this data is collected and evaluated by our analysts. The key players in the industry or markets are identified through extensive primary and secondary research. All percentage share splits, and breakdowns have been determined using secondary sources and verified through primary sources. The market size, in terms of value and volume, is determined through primary and secondary research processes, and forecasting models including the time series model, econometric model, judgmental forecasting model, the Delphi method, among Flywheel Energy Storage. Gathered information for market analysis, competitive landscape, growth trends, product development, and pricing trends is fed into the model and analyzed simultaneously.
Quality Checking & Final Review
The analysis done by the research team is further reviewed to check for the accuracy of the data provided to ensure the clients’ requirements. This approach provides essential checks and balances which facilitate the production of quality data. This Type of revision was done in two phases for the authenticity of the data and negligible errors in the report. After quality checking, the report is reviewed to look after the presentation, Type and to recheck if all the requirements of the clients were addressed.
