Vietnam Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market France, 2023-2027

Vietnam Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market France, 2023-2027

Summary

Growth in Vietnam’s construction industry is expected to have slowed from 8.2% in 2022 to 5.4% in 2023, owing to headwinds such as slowing real estate activity and soft external demand. The industry’s output in 2023 is however expected to have been supported by investment in the transport, energy, and public housing sectors, coupled with rising foreign direct investment (FDI). According to the General Statistics Office of Vietnam (GSO), FDI inflows increased by 7.7% year-on-year (YoY) in the first nine months 2023, reaching VND466.6 trillion ($20.2 billion). Of the total, the processing and manufacturing industry attracted VND323.2 trillion ($14 billion), while the real estate sector attracted VND43.9 trillion ($1.9 billion), and wholesale and retail attracted VND17 trillion ($734 million).

GlobalData expects Vietnam’s construction industry to register an annual average growth of 7% from 2024 to 2027, supported by the development of the country’s rail and road transport infrastructure, coupled with investment in energy, industrial, and tourism infrastructure. In October 2023, the Ministry of Transport announced that the Vietnamese government and the World Bank are discussing loans worth between VND115.4-161.6 trillion ($5-7 billion), to implement major railway and highway projects. The projects that require funding include the first phase of a 140km railway project connecting Bien Hoa (in Dong Nai province) and Vung Tau city (in Ba Ria-Vung Tau province), with an investment of VND73.9 trillion ($3.2 billion); the 151km Pleiku-Quy Nhon highway project, and the 70km Cam Lo-Lao Bao highway project. The government’s focus on increasing renewable energy capacity is also expected to support construction output over the forecast period. In September 2023, Ho Chi Minh City announced it plans to install rooftop solar panels with an investment of VND26 trillion ($1.1. billion). The project will run from 2026 to 2030 and will produce 1,505 MWp of energy.

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

• The Vietnamese 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 Vietnamese 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 Vietnam. It provides -

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