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

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

Summary

The construction industry in Switzerland is expected to shrink by 1.6% in real terms this year, owing primarily to subdued investor and confidence amid high construction cost inflation, rising interest rates and supply chain disruptions which are all expected to continue to weigh on the industry’s performance. The industry’s output in 2023 will also be affected by a sharp decline in consumer confidence. According to State Secretariat for Economic Affairs (SECO), the consumer confidence index fell by 28.2% year on year (YoY) in the first four months of 2023, preceded by Y-o-Y fall of 29.9% in 2022.

The industry is, however, expected to rebound to an average annual growth rate of 1.6% from 2024 to 2027, supported by investments in transport and renewable energy infrastructure projects. The government aims to reduce greenhouse gas emissions by 90%, compared to 1990 levels, by 2050, under the “Long-term climate strategy to 2050” plan. To support this target, it is focusing on increasing the capacity of renewable energy across the country. The country aims to nearly triple output from non-hydro renewable sources such as wind and solar by 2035. The government also aims to achieve an additional renewable electricity generation capacity of 17TWh by 2035. Forecast-period growth in the industry will also be supported by the government’s plan to spend nearly CHF8 billion ($8.7 billion) on major road development works from 2024 to 2027.

Forecast-period growth in the Swiss construction industry will also be supported by government investments in rail and road infrastructure projects. In September 2022, the national railway company of Switzerland - Swiss Federal Railways (SBB) - presented a plan called Suisse Cargo Logistics, to boost rail freight. The plan is to build five new rail terminals on the key east-west route between St Gallen and Geneva, and five to eight city hubs. The SBB aims to commence operations on its first high-capacity terminal on the east-west route by 2030.

The report provides detailed market analysis, information and insights into the Swiss construction industry, including -

• The Swiss 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 Swiss 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 Switzerland. It provides -

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