Chile Construction Market Size, Trend Analysis by Sector (Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential) and Forecast, 2023-2027

Chile Construction Market Size, Trend Analysis by Sector (Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential) and Forecast, 2023-2027

Summary

GlobalData forecasts that the Chilean construction industry will decline 3.7% this year, following marginal growth of 0.6% in 2022. The decline is being driven by a sharp fall in the residential sector, owing to weak consumer and investor confidence, which resulted in fall of 44.4% year on year (YoY) in total area of residential permits in the first three months of 2023, following a 23.4% annual decline in 2022. This is heavily influenced by rising construction costs and high interest rates. According to the Chilean Chamber of Construction (CChC), the Construction Materials and Supplies Price Index (IPMIC) rose by 5.9% YoY in the first three months of 2023. In light of this uncertainty, the government expects construction investments to fall 5.9% in 2023 due to a drop in both public and private investment. The Ministry of Public Works executed only 10% of its budget for investment initiatives from January to March 2023, a 36% decrease from the amount executed during the same period in 2022.

The construction industry is expected to grow at a 3.9% annual average rate from 2025 to 2027, fueled by investments in water, energy, hydrogen, and housing projects. The government's goal is to reduce carbon emissions and have renewable energy account for 80% of total electricity generation by 2030. To achieve this goal, the government announced in April 2022 that it will tender 2,786ha of land in the Commune of Santa Elena for deployment purposes. The land will be used for the installation of wind or solar power projects.

This report provides detailed market analysis, information and insights into the Chilean construction industry, including -

• The Chilean 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 Chilean 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 Chile. It provides -

• Historical (2018-2022) and forecast (2023-2027) valuations of the construction industry in Chile, 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.