Norway Construction Market Size, Trends, and Forecasts by Sector – Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis, 2024-2028

Norway Construction Market Size, Trends, and Forecasts by Sector – Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis, 2024-2028

Summary

GlobalData expects the Norwegian construction industry to contract by 4% in real terms in 2024, owing to slowdown in the housing market amid rising interest rates and high inflation, coupled with elevated construction costs which has led to an increase in mortgage rates, resulted in falling building permits and delays of projects. According to Statistics Norway, the average construction cost index for residential buildings rose by 3.3% year on year (YoY) in the first three months of 2024, owing to increased costs in both materials (3.9% YoY) and labour (3.1% YoY). Moreover, the total floor space of dwelling permits issued in the country fell by 16.8% in 2023, falling from 3.7 million m2 in 2022 to 3.1 million m2 in 2023. In March 2024, the government reported that the tender for the 1.5GW floating offshore wind project - Utsira Nord is expected to launch in 2025.

Over the remainder of the forecast period, the industry’s output is expected to record an annual average growth rate of 3.4% from 2025 to 2028, supported by investments in the transport, commercial, and renewable energy projects, coupled with the government’s target of reaching net zero carbon emissions by 2030, compared to its 1991 levels. In March 2024, a consortium led by local energy company Ventyr Energi won an offshore wind project auction from the government to build a 1.5GW offshore wind project in Sorlige Nordsjo II by 2030. Growth over the forecast period will also be aided by the government's plans to develop the country's road network with an investment of NOK207.6 billion ($20.7 billion) by 2027. In March 2024, Swedish construction company Skanska began construction work on the part of the E18 highway near Oslo, involving the construction of a two-lane road stretching 6km, a 1.2km Hovik tunnel, and the Ramstadsletta bridge by 2030.

GlobalData’s Construction in Norway - Key Trends and Opportunities to 2028 (H1 2024) report provides detailed market analysis, information, and insights into the Norwegian construction industry, including -

• The Norwegian 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 Norwegian 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 Norway. It provides -

• Historical (2019-2023) and forecast (2024-2028) valuations of the construction industry in Norway, 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.