Argentina Construction Market Size, Trends and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis, 2022-2026

Argentina Construction Market Size, Trends and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis, 2022-2026

Summary

GlobalData expects Argentina’s construction industry to grow by 4.5% in real terms in 2022, supported by the execution of major infrastructure projects and an increase in permits issued in 2021 and 2022. According to the National Institute of Statistics and Censuses (INDEC), the construction industry’s value add rose by 5.8% year on year (YoY) in the first half of 2022. Moreover, the total area approved for building permits grew by 2.1% YoY in the first eight months of 2022. However, the surge in construction material prices and high energy costs, coupled with the supply chain disruptions present major downside risks to the industry’s outlook in the coming period.

Argentina’s construction industry is projected to expand by an annual average rate of 2.6% between 2023 and 2026, supported by energy, transport, and residential investment. The ongoing construction of 218 roadway projects under the ministry of public works is expected to be completed by 2025. The National Highway authority of Argentina plans to rehabilitate a total of 2,292km of roads, complete the construction of 261km of highways and have 1,192km of highways under construction, by the end of 2023. Furthermore, as part of the Argentina Rail Modernization Plan for 2030, the Ministry of Transport signed three memorandums of understanding (MoU) in February 2022, with Chinese companies for the development of three rail projects.

To support the energy sector output, YPF S.A, a state-owned energy company and Petronas, a Malaysian based Oil and gas company, signed an MOU in September 2022 to build a ARS1.1 trillion ($10 billion) liquefied natural gas (LNG) plant in the country, with a production capacity of 5 million tonnes of LNG annually in the initial period of operation. Moreover, the China National Nuclear Corporation (CNNC) and Nucleoeléctrica Argentina signed an engineering, procurement and construction (EPC) contract worth ARS916.6 billion ($8 billion) in February 2022 for the development of the Atucha III nuclear power plant

The report provides detailed market analysis, information and insights into Argentina’s construction industry, including -

• Argentina’s construction industry's growth prospects by market, project type and construction activity
• Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in Argentina’s construction industry
• Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline

Scope

This report provides a comprehensive analysis of the construction industry in Argentina. It provides -

• Historical (2017-2021) and forecast (2022-2026) valuations of the construction industry in Argentina, featuring details of key growth drivers.
• Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
• Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
• Listings of major projects, in addition to details of leading contractors and consultants

Reasons to Buy

• Identify and evaluate market opportunities using GlobalData's standardized valuation and forecasting methodologies.
• Assess market growth potential at a micro-level with over 600 time-series data forecasts.
• Understand the latest industry and market trends.
• Formulate and validate strategy using GlobalData's critical and actionable insight.
• Assess business risks, including cost, regulatory and competitive pressures.
• Evaluate competitive risk and success factors.