Canada Construction Market Size, Trends and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis, 2022-2026
Summary
Growth momentum in the Canadian construction industry is expected to slow in 2022, owing to significant headwinds facing the global construction industry stemming from soaring energy prices and disruptions in the supply of key construction materials amid the Russia-Ukraine conflict. The latest figures from Statistics Canada show that Canada’s construction industry’s value add growth slowed in the first seven months of 2022 to 1.2% year on year (YoY), following a Y-o-Y growth of 6.1% in 2021 overall. According to Statistics Canada, the cost of construction for residential buildings grew by 21.5% YoY in the first half of 2022, compared to an increase of 18.1% in 2021 overall. For non-residential buildings, the cost of construction grew by 13% YoY in the first half of 2022, preceded by an annual growth of 6.9% in 2021 overall. These price hikes are putting a strain on the construction industry, making projects prohibitively expensive.
Infrastructure construction looks to perform strongly over the forecast period, with the Federal and Local Governments investing heavily in upgrading the country’s infrastructure. This will contribute to the 2.2% annual average growth of overall construction over the remainder of the forecast period (2023-26), with the government focused on improving regional connectivity through the development of the country’s transport infrastructure, coupled with investment in housing and energy infrastructure projects.
Forecast-period growth in the residential sector will be supported by investment in affordable housing, coupled with the government’s focus on supporting home ownership. In April 2022, Prime Minister Justin Trudeau committed to double housing construction over the next decade, and the government will invest CAD4 billion ($3.2 billion) for the launch of a new Housing Accelerator Fund that will help create 100,000 new housing units over the next five years. In August 2022, Trudeau announced an investment of CAD2 billion ($1.6 billion) to support three key initiatives, which will create around 17,000 houses across the country
The report provides detailed market analysis, information and insights into the Canadian construction industry, including -
- The Canadian 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 the Canadian construction industry
- Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline
This report provides a comprehensive analysis of the construction industry in Canada. It provides -
- Historical (2017-2021) and forecast (2022-2026) valuations of the construction industry in Canada, 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
- 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.
- 1 Executive Summary
- 2 Construction Industry: At-a-Glance
- 3 Context
- 3.1 Economic Performance
- 3.2 Political Environment and Policy
- 3.3 Demographics
- 3.4 COVID-19 Status
- 3.5 Risk Profile
- 4 Construction Outlook
- 4.1 All Construction
- Outlook
- Latest news and developments
- Construction Projects Momentum Index
- 4.2 Commercial Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.3 Industrial Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.4 Infrastructure Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.5 Energy and Utilities Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.6 Institutional Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.7 Residential Construction
- Outlook
- Project analytics
- Latest news and developments
- 5 Key Industry Participants
- 5.1 Contractors
- 5.2 Consultants
- 6 Construction Market Data
- 7 Appendix
- 7.1 What is this Report About?
- 7.2 Definitions
- 7.3 CRI Methodology
- 7.4 GlobalData Construction
- Contact Us
- List of Tables
- Table 1: Construction Industry Key Data
- Table 2: Canada, Key Economic Indicators
- Table 3: Canada, Commercial Construction Output by Project Type (Real % Change), 2017-26
- Table 4: Canada, Top Commercial Construction Projects by Value
- Table 5: Canada, Industrial Construction Output by Project Type (Real % Change), 2017-26
- Table 6: Canada, Top Industrial Construction Projects by Value
- Table 7: Canada, Infrastructure Construction Output by Project Type (Real % Change), 2017-26
- Table 8: Canada, Top Infrastructure Construction Projects by Value
- Table 9: Canada, Energy and Utilities Construction Output by Project Type (Real % Change), 2017-26
- Table 10: Canada, Top Energy and Utilities Construction Projects by Value
- Table 11: Canada, Institutional Construction Output by Project Type (Real % Change), 2017-26
- Table 12: Canada, Top Institutional Construction Projects by Value
- Table 13: Canada, Residential Construction Output by Project Type (Real % Change), 2017-26
- Table 14: Canada, Top Residential Construction Projects by Value
- Table 15: Canada, Key Contractors
- Table 16: Canada, Key Consultants
- Table 17: Canada, Construction Output Value (Real, $ Million)
- Table 18: Canada, Construction Output Value (Nominal, CAD Million)
- Table 19: GlobalData Construction Market Definitions
- Table 20: Risk Dimensions
- Table 21: Ratings, Scores and Definitions
- List of Figures
- Figure 1: North America, Construction Output (Real % Change), 2020-26
- Figure 2: Canada, Construction Output by Sector (Real % Change), 2020-22 and 2023-26
- Figure 3: Canada, COVID-19 Confirmed Cases
- Figure 4: Canada, Risk Summary
- Figure 5: Canada, Risk Regional Comparison
- Figure 6: Canada, Construction Output Value (Real, $ Billion, 2017 Prices and Exchange Rate), 2017-26
- Figure 7: Canada, Construction Output Value, by Sector (Real, $ Million), 2017-26
- Figure 8: Canada, Construction Value-Add (CAD Million, 2012 Constant Prices), Quarterly Average, Seasonally Adjusted at Annual Rates
- Figure 9: Canada, Investment in Building Construction, in CAD Million, in Seasonally Adjusted Constant Prices
- Figure 10: Canada, Value of Building Permits Issued, in Seasonally Adjusted Constant Prices, % Change YoY
- Figure 11: Canada, Building Construction Prices Indices, 2017=100, % Change YoYs
- Figure 12: Canada, Construction Employment, In Thousands, In Seasonally Adjusted Terms
- Figure 13: Canada, Construction Projects Momentum Index
- Figure 14: Region, Construction Projects Momentum Index
- Figure 15: Canada, Commercial Construction Output by Project Type (Real, $ Million), 2017-26
- Figure 16: Canada, Commercial Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 17: Canada, Investment on Commercial Building Construction, in CAD Million, in Seasonally Adjusted Constant Prices
- Figure 18: Canada, Value of Building Permits Issued for Commercial Buildings, in CAD Million, in Seasonally Adjusted Terms
- Figure 19: Canada, Number of Non-Resident Visitors Entering the Country, In Thousands
- Figure 20: Canada, Tourism Expenditure, in CAD Million, 2012 Constant Prices, Seasonally Adjusted
- Figure 21: Canada, Retail Trade Sales, in CAD Million
- Figure 22: Canada, Industrial Construction Output by Project Type (Real, $ Million), 2017-26
- Figure 23: Canada, Industrial Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 24: Canada, Manufacturing Value-add (CAD Million, 2012 Constant Prices), Quarterly Average Seasonally Adjusted at Annual Rates
- Figure 25: Canada, Investment on Industrial Building Construction, in CAD Million, in Seasonally Adjusted Constant Prices
- Figure 26: Canada, Value of Building Permits Issued for Industrial Buildings, in CAD Million, in Seasonally Adjusted Terms
- Figure 27: Canada, Sales Value of Goods Manufactured and New Orders of Manufacturing, in CAD Million
- Figure 28: Canada, Merchandise Exports, in CAD Million
- Figure 29: Canada, Industrial Building Construction Price Index, 2017=100
- Figure 30: Canada, Capacity Utilization Rate, In %
- Figure 31: Canada, Infrastructure Construction Output by Project Type (Real, $ Million), 2017-26
- Figure 32: Canada, Infrastructure Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 33: Canada, Value-add of Civil Engineering and Other Construction Activities, (CAD Million, 2012 Constant Prices), Quarterly Average, Seasonally Adjusted at Annual Rates
- Figure 34: Canada, Energy and Utilities Construction Output by Project Type (Real, $ Million), 2017-26
- Figure 35: Canada, Energy and Utilities Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 36: Canada, Capital Expenditure in the Oil and Gas Extraction Industries, in CAD Million, In Seasonally Adjusted Terms
- Figure 37: Canada, Electric Power Generation, In GWh
- Figure 38: Canada, Production of Crude Oil and Other Equivalent Products, YoY % Change
- Figure 39: Canada, Institutional Construction Output by Project Type (Real, $ Million), 2017-26
- Figure 40: Canada, Institutional Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 41: Canada, Investment on Institutional Building Construction, in CAD Million, In Seasonally Adjusted Terms
- Figure 42: Canada, Institutional Building Permits Issued, In CAD Million, In Seasonally Adjusted Terms
- Figure 43: Canada, Institutional Building Construction Price Index, 2017=100
- Figure 44: Canada, Residential Construction Output by Project Type (Real, $ Million), 2017-26
- Figure 45: Canada, Residential Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 46: Canada, Value-add of Residential Building, (CAD Million, 2012 Constant Prices), Quarterly Average, Seasonally Adjusted at Annual Rates
- Figure 47: Canada, Investment on Residential Building Construction, in CAD Million, in Seasonally Adjusted Terms
- Figure 48: Canada, Residential Building Permits Issued, in CAD Million, in Seasonally Adjusted Terms
- Figure 49: Canada, New Housing Price Index, 2016=100
- Figure 50: Canada, Housing Construction Started in Census Metropolitan Areas
- Figure 51: Canada, Headquarters of Key Contractors (% of Total Project Pipeline)
- Figure 52: Canada, Headquarters of Key Consultants (% of Total Project Pipeline)
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