Modular Construction Market by Type (Permanent, Relocatable), Material (Plastic, Precast Concrete, Steel), Module, End User - Global Forecast 2024-2030
Modular Construction Market by Type (Permanent, Relocatable), Material (Plastic, Precast Concrete, Steel), Module, End User - Global Forecast 2024-2030
The Modular Construction Market size was estimated at USD 133.21 billion in 2023 and expected to reach USD 142.90 billion in 2024, at a CAGR 7.37% to reach USD 219.17 billion by 2030.
Modular construction is a creative building technique that prefabricates standardized modules or components in a controlled, factory-like setting before being transported to the construction site for assembly and final installation. Modular units can be configured to meet various architectural designs and purposes, ranging from single-family homes to multi-story apartment buildings and commercial properties. By shifting much of the construction activity away from the site and into a controlled environment, modular construction minimizes on-site labor, reduces waste, and can offer significant improvements in overall construction quality and safety. Sustainable construction with reduced waste and efficient use of resources coupled with increased government incentives for green building initiatives that favor the adoption of modular construction practices. However, logistical challenges associated with transporting prefabricated modules, particularly for larger projects or areas with inadequate infrastructure, may impede the market growth. Nevertheless, developing smart modular units equipped with IoT technologies for enhanced functionality and integrating renewable energy systems into modular designs is expected to create potential opportunities for the modular construction market.
Regional Insights
The modular construction market in the Americas is developing with a consumer base that is increasingly aware of the benefits, including reduced construction time, cost savings, and sustainability. The region shows many new patents related to modular construction, highlighting continuous innovation in building techniques and materials. Furthermore, the increased adoption of modular construction is driven by the need for speed in construction and governmental initiatives promoting green building practices. Modular construction is gaining traction within the European Union (EU) due to stringent sustainability regulations and high labor costs, making prefabricated solutions an attractive alternative. The consumer base is conscious of environmental impact and energy efficiency, making Europe an avid adopter of green modular construction methods. In the Middle East, the demand for modular buildings is rising, linked to the region's focus on innovation and sustainability in preparation for events, including the World Expo and the FIFA World Cup. In Africa, modular construction is viewed as a solution to the urgent housing demand and infrastructural development. Consumers are driven by necessity and cost-effectiveness. Investments are primarily directed towards affordable housing projects. The Asia Pacific region displays a robust growth in the modular construction market, fostered by rapid urbanization and the growing need for affordable housing. China and India are at the forefront, given the enormous population pressure and urbanization trends. The government's push towards prefabrication to address housing shortages and reduce waste has also been instrumental. This region's patents focus on innovations in modular design and sustainable materials. Technology-driven countries have adopted high-tech modular solutions, particularly in response to disaster recovery needs. Investments in research often prioritize earthquake resistance and efficiency in design.
Market Insights
Market Dynamics
The market dynamics represent an ever-changing landscape of the Modular Construction Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.
Market Drivers
Infrastructure Investment and Industrialization
Associated Environmental Benefits and a Rise in Workplace Safety Concerns
Faster Build Time, Ease of Installation and Relocation, and Quality Control
Government Infrastructure Supporting Deployments
Market Restraints
Overall Economic Downturn in the Construction Business
Market Opportunities
Rising Demand for Modular Construction in the Americas
Customizing Modular with Energy Efficient Packages, Technology and Aesthetics
Market Challenges
Lack of Awareness and Prevailing Myth About Modular Buildings
Market Segmentation Analysis
Type: Increasing preference for relocatable modular construction due to its lower initial investment with cost-efficient adaptation to changing needs
Material: Burgeoning adoption of steel for modular constructions
Market Disruption Analysis
Porter’s Five Forces Analysis
Value Chain & Critical Path Analysis
Pricing Analysis
Technology Analysis
Patent Analysis
Trade Analysis
Regulatory Framework Analysis
FPNV Positioning Matrix
The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Modular Construction Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).
Market Share Analysis
The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Modular Construction Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.
Recent Developments
BloomedHomes Announces Launch of Modular Home Solutions
BloomedHomes emerges as a transformative force in the real estate landscape with its state-of-the-art modular home solutions, aiming to revolutionize the housing industry. Offering a spectrum of elegantly designed modular homes, from the space-efficient BloomFlat to the opulent BloomMaisonette, and the grand BloomHouse, BloomedHomes defies traditional construction constraints by providing high-quality, cost-effective, and swiftly installable residences. Engineered for simplicity and adaptability, these homes are designed with rapid assembly in mind, allowing for homeownership without the common hindrances of exorbitant costs, prolonged construction times, and location limitations.
Eco Modular, a Provider in Sustainable Modular Building Manufacturing, to Go Public Through Merger with Zalatoris II Acquisition Corp.
Eco Modular, also known as Ascotway Ltd, an Offsite Modular Manufacturing solution, joined forces with Zalatoris II Acquisition Corp. through a definitive merger agreement. This strategic union, which is slated to finalize in Q1 2024, is dependent on the satisfaction of regulatory approvals and other typical closing conditions. This deal marks a milestone in Eco Modular's journey, charting a path for its future as an innovator in the public market space.
Tennet Launches 'Modular Building Large Projects' For Accelerated Electricity Grid Expansion
TenneT launched its ambitious 'Modular Construction for Large Projects' initiative, celebrated with an inaugural event at the lively Rijtuigenloods attended by 300 distinguished guests. This strategic move reflects an essential shift towards more efficient and intelligent construction methodologies, especially pivotal for scaling up electricity grid infrastructure. By focusing on modularizing the building of 380 kV substations and high-voltage pylons associated with the 380 kV connections, TenneT aims to streamline processes and enhance procurement efficiency.
Strategy Analysis & Recommendation
The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Modular Construction Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.
Key Company Profiles
The report delves into recent significant developments in the Modular Construction Market, highlighting leading vendors and their innovative profiles. These include Alta-Fab Structures Ltd., ATCO Ltd., Bouygues Construction, CIMC Modular Building Systems Holding Co Ltd.by CIMC Group, Dubox, Dutco Group of Companies, Elements Europe, Etex Group, Fleetwood Corporation Limited, GMC Solutions, Guerdon, LLC, H+H UK Limited, HOMAG Group, Kleusberg GmbH & Co. KG, KOMA MODULAR s. r. o., Kwikspace, Laing O'Rourke, Lendlease Corporation Limited, McGrath RentCorp, Modulaire Group, Modular Concepts, Inc., Modulex Modular Buildings Plc, NRB Modular Solutions Inc., Pressmach Infrastructure Private Limited, Red Sea International, SIPEUROPE s.r.o, Skanska AB, Vinci S.A., Wernick Group of Companies, and Williams Scotsman, Inc..
Market Segmentation & Coverage
This research report categorizes the Modular Construction Market to forecast the revenues and analyze trends in each of the following sub-markets:
Type
Permanent
Relocatable
Material
Plastic
Precast Concrete
Steel
Wood
Module
Four-Sided Modules
Mixed Modules and Floor Cassettes
Modules Supported By A Primary Structure
Open-Sided Modules
Partially Open-Sided Modules
End User
Commercial
Education
Healthcare
Housing
Industrial
Region
Americas
Argentina
Brazil
Canada
Mexico
United States
California
Florida
Illinois
New York
Ohio
Pennsylvania
Texas
Asia-Pacific
Australia
China
India
Indonesia
Japan
Malaysia
Philippines
Singapore
South Korea
Taiwan
Thailand
Vietnam
Europe, Middle East & Africa
Denmark
Egypt
Finland
France
Germany
Israel
Italy
Netherlands
Nigeria
Norway
Poland
Qatar
Russia
Saudi Arabia
South Africa
Spain
Sweden
Switzerland
Turkey
United Arab Emirates
United Kingdom
Please Note: PDF & Excel + Online Access - 1 Year
1. Preface
1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders
2. Research Methodology
2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update
3. Executive Summary
4. Market Overview
5. Market Insights
5.1. Market Dynamics
5.1.1. Drivers
5.1.1.1. Infrastructure Investment and Industrialization
5.1.1.2. Associated Environmental Benefits and a Rise in Workplace Safety Concerns
5.1.1.3. Faster Build Time, Ease of Installation and Relocation, and Quality Control
5.1.1.4. Government Infrastructure Supporting Deployments
5.1.2. Restraints
5.1.2.1. Overall Economic Downturn in the Construction Business
5.1.3. Opportunities
5.1.3.1. Rising Demand for Modular Construction in the Americas
5.1.3.2. Customizing Modular with Energy Efficient Packages, Technology and Aesthetics
5.1.4. Challenges
5.1.4.1. Lack of Awareness and Prevailing Myth About Modular Buildings
5.2. Market Segmentation Analysis
5.2.1. Type: Increasing preference for relocatable modular construction due to its lower initial investment with cost-efficient adaptation to changing needs
5.2.2. Material: Burgeoning adoption of steel for modular constructions
5.3. Market Trend Analysis
5.4. Cumulative Impact of Russia-Ukraine Conflict
5.5. Cumulative Impact of High Inflation
5.6. Porter’s Five Forces Analysis
5.6.1. Threat of New Entrants
5.6.2. Threat of Substitutes
5.6.3. Bargaining Power of Customers
5.6.4. Bargaining Power of Suppliers
5.6.5. Industry Rivalry
5.7. Value Chain & Critical Path Analysis
5.8. Regulatory Framework Analysis
5.9. Client Customization
6. Modular Construction Market, by Type
6.1. Introduction
6.2. Permanent
6.3. Relocatable
7. Modular Construction Market, by Material
7.1. Introduction
7.2. Plastic
7.3. Precast Concrete
7.4. Steel
7.5. Wood
8. Modular Construction Market, by Module
8.1. Introduction
8.2. Four-Sided Modules
8.3. Mixed Modules and Floor Cassettes
8.4. Modules Supported By A Primary Structure
8.5. Open-Sided Modules
8.6. Partially Open-Sided Modules
9. Modular Construction Market, by End User
9.1. Introduction
9.2. Commercial
9.3. Education
9.4. Healthcare
9.5. Housing
9.6. Industrial
10. Americas Modular Construction Market
10.1. Introduction
10.2. Argentina
10.3. Brazil
10.4. Canada
10.5. Mexico
10.6. United States
11. Asia-Pacific Modular Construction Market
11.1. Introduction
11.2. Australia
11.3. China
11.4. India
11.5. Indonesia
11.6. Japan
11.7. Malaysia
11.8. Philippines
11.9. Singapore
11.10. South Korea
11.11. Taiwan
11.12. Thailand
11.13. Vietnam
12. Europe, Middle East & Africa Modular Construction Market
12.1. Introduction
12.2. Denmark
12.3. Egypt
12.4. Finland
12.5. France
12.6. Germany
12.7. Israel
12.8. Italy
12.9. Netherlands
12.10. Nigeria
12.11. Norway
12.12. Poland
12.13. Qatar
12.14. Russia
12.15. Saudi Arabia
12.16. South Africa
12.17. Spain
12.18. Sweden
12.19. Switzerland
12.20. Turkey
12.21. United Arab Emirates
12.22. United Kingdom
13. Competitive Landscape
13.1. Market Share Analysis, 2023
13.2. FPNV Positioning Matrix, 2023
13.3. Competitive Scenario Analysis
13.3.1. BloomedHomes Announces Launch of Modular Home Solutions
13.3.2. Eco Modular, a Provider in Sustainable Modular Building Manufacturing, to Go Public Through Merger with Zalatoris II Acquisition Corp.
13.3.3. Tennet Launches 'Modular Building Large Projects' For Accelerated Electricity Grid Expansion