Brazil Construction Industry Databook Series – Market Size & Forecast by Value and Volume (area and units) across 40+ Market Segments in Residential, Commercial, Industrial, Institutional and Infrastructure Construction, Q1 2022 Update

Brazil Construction Industry Databook Series – Market Size & Forecast by Value and Volume (area and units) across 40+ Market Segments in Residential, Commercial, Industrial, Institutional and Infrastructure Construction, Q1 2022 Update

Report Description

According to ConsTrack360's Q4 2021 Global Construction Survey, construction industry in Brazil is expected to grow by 10.9% to reach BRL 6,64,359 million in 2022.

Despite near-term challenges in certain construction sectors, medium to long term growth story in Brazil remains intact. The construction industry in Brazil is expected to grow steadily over the next four quarters. The growth momentum is expected to continue over the forecast period, recording a CAGR of 6.4% during 2022-2026. The construction output in the country is expected to reach BRL 8,49,890.3 million by 2026.

Brazil construction industry sees faster recovery but is expected to slow down in 2022

Despite the coronavirus pandemic keeping the construction activities below capacity, the industry has experienced a faster recovery in 2021. The projected growth is based on the low interest and pent-up demand in Brazil.

Moreover, the aspiration to live in larger homes has led to a sharp rise in the new build market in Brazil. During the first half of 2021, the sales of new properties jumped more than 46% compared to the same period last year. However, with the interest rates going up amid the surge in inflation and slower economic growth, ConsTrack360 expects the growth in the construction sector to slow down in 2022 when compared to 2021.

Large infrastructure projects initiated in Q3 2021 expected to support the construction industry in 2022

The construction industry in Brazil is expected to get support from the deals already signed for the next year, as well as the rising investment in infrastructure projects. For instance,
• Rio Alto Energias Renovaveis SA, the Brazilian energy company, received the go-ahead from Aneel, the electricity regulatory agency in the country, for the construction of 600 MW of solar power plants in Paraiba state. To be comprised of 12 photovoltaic parks, the construction project is projected to require an investment of BRL2.4 billion (US$435 million). Moreover, according to Aneel, the Brazilian state can expect a total solar investment of BRL10 billion by 2026. This will keep supporting the growth of the construction industry in Brazil from the short to medium-term perspective.
• Apart from this, several other infrastructure construction projects have also commenced in Brazil, including Sol de Cerrado solar project in Minas Gerais and Serra Branca SSM1&2 Solar Photovoltaic Power Complex 320 MW. Moreover, the Sol de Cerrado solar project in Minas Gerais includes the construction of a 766 MW solar complex, which is scheduled for completion in 2022. Construction activities of the SSM1&2 Solar Photovoltaic Power Complex have also started in Q3 2021, with the target to commission the facility during the first half of 2022.

These infrastructure projects, along with several others, are expected to support the construction industry in Brazil over the next four to eight quarters.

Casa Verde e Amarela housing program expected to support investment and growth in the Brazilian construction industry

In late 2020, the Brazilian Government ended the Minha Casa Minha Vida program to implement the new Casa Verde e Amarela housing program. Under the program, the Government aims to regularize up to 2 million homes and renovate over 400,000 over the next four years in the country. ConsTrack360 expects the housing program to support investment and growth in the Brazilian construction industry over the next four to eight quarters.

Notably, the new housing program offers a subsidy to over 1.5 million low-income families, consequently expected to boost the demand for affordable housing in the country. Moreover, the new program also offers low-interest rates when compared to the Minha Casa Minha Vida program. ConsTrack360 expects that the reduced interest rates, subsidized housing units, and land regularization will further boost the growth of the overall construction industry in Brazil from the short to medium-term perspective.

This report from ConsTrack360 provides data and trend analyses on construction industry in Brazil, with over 100 KPIs. This is a data-centric report and it provides trend analyses with over 140+ charts and 110+ tables. It details market size & forecast, emerging trends, market opportunities, and investment risks in over 40 segments in residential, commercial, industrial, institutional, and infrastructure construction sectors.

It provides a comprehensive understanding of construction industry sectors in both value and volume (both by activity and units) terms. The report focuses on combining industry dynamics with macro-economic scenario and changing consumer behavior to offer a 360-degree view of the opportunities and risks.

Scope
• Market Data and Insights: This report provides market size and forecast across 40+ construction segments for a period of 10 years from 2016-2025 in Brazil. KPIs covered include the following:
• Market size by value
• Market size by volume of construction
• Number of units
• Brazil Residential Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Housing type (multi family, single family)
• Key cities (Tier – 1, Tier – 2, Tier – 3 segmentation)
• Price point / income level (luxury, mid-tier, affordable)
• Construction stage (new construction, re-development & maintenance)
• Brazil Residential Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Green building by Housing type (multi family, single family)
• Green building by Key cities (Tier – 1, Tier – 2, Tier – 3 segmentation)
• Green building by Price point / income level (luxury, mid-tier, affordable)
• Brazil Commercial Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Office (further broken down by Grade A, Grade B, and Grade C)
• Retail (further broken down by Grade A, Grade B, and Grade C)
• Hospitality (further broken down by Grade A, Grade B, and Grade C)
• Restaurant (further broken down by Grade A, Grade B, and Grade C)
• Entertainment
• Sports facility
• Construction stage (new construction, re-development & maintenance)

• Brazil Commercial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Office green building construction
• Retail green building construction
• Hospitality green building construction
• Restaurant green building construction
• Entertainment green building construction
• Sports facility green building construction
• Other commercial green building construction
• Brazil Industrial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units)
• Brazil Institutional Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Healthcare construction
• Educational construction
• Public sector
• Construction stage (new construction, re-development & maintenance)
• Brazil Institutional Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Healthcare green building construction
• Educational green building construction
• Brazil Infrastructure Construction Sectors: 10- year market size & forecast in value terms by
• Marine and inland water infrastructure
• Utility system construction (oil and gas infrastructure, communication infrastructure, power infrastructure, water and sewer infrastructure)
• Transportation infrastructure (highway, street and bridge construction, railway construction, airport construction, and tunnel construction)
• Construction stage (new construction, re-development & maintenance)
• Brazil Green Infrastructure Construction: 10- year market size & forecast in value terms

Reasons to buy
• In-depth Understanding of Construction Market Dynamics: Understand market opportunity, industry dynamics, key trends and drivers across 40+ market segments and sub-segments of building and infrastructure construction industry in Brazil.
• Volume and Value Data: Get detailed understanding of the market both from value and volume (both by activity and units) perspective for historical as well as forecast period
• Develop Market Specific Strategies: Identify growth segments and target specific opportunities to formulate your strategy; assess market specific key trends, drivers and risks in construction industry.
• City Level Insights: Get city level trend analyses by tier-1, tier-2, and tier-3 cities.