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

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

Summary

Following marginal annual growth of just 0.4% in 2022, the construction industry in France is expected to shrink by 2.4% in real terms this year, owing to headwinds caused by inflation, high construction material prices, rising interest rates, and supply chain disruptions. According to the National Institute of Statistics and Economic Studies (INSEE), the average construction materials cost index registered a year-on-year (Y-o-Y) increase of 15.6% in 2022 - which is up from an annual increase of 9.2% in 2021. The industry’s output in 2023 will also be affected by a sharp decline in consumer confidence, and a downturn in the residential construction sector.

The industry is however expected to start to pick up in 2024, supported by investments on transport and renewable energy infrastructure projects together with the government focus on. To achieve its target to reduce greenhouse gas emissions by 35% in 2030 compared to 2015 levels, the government is focusing on increasing the capacity of renewable energy across the country. In addition, as part of France’s Recovery and Resilience Plan announced in September 2020, the government is focusing on achieving carbon neutrality by 2050. To support this, the government has plans for six new nuclear reactors, collectively accounting for 25GW, which will increase the total number of nuclear reactors from 56 as of January 2023 to 62 by 2036. In addition, as part of the broad plan ‘France Nation verte”, the French Prime Minister announced a plan of investing EUR100 billion ($106.3 billion) in May 2023 for the expansion and upgrading of the rail network by 2040.

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

• The French 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 French 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 France. It provides -

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