Global Tunnel Construction Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Tunnel Construction Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

A tunnel is an engineering building buried in the ground, and it is a form of human use of underground space. Tunnel construction is a subset of underground construction. The construction process is mainly for tunnel planning, survey, design, penetration control measurement, and construction. The tunnel construction method depends on factors such as foundation conditions, groundwater conditions, the length and diameter of the tunnel, the depth of the tunnel, the support logistics of the tunnel excavation, the end-use and shape of the tunnel and other factors.

Market Overview:

The latest research study on the global Tunnel Construction market finds that the global Tunnel Construction market reached a value of USD 94782.76 million in 2022. It’s expected that the market will achieve USD 146755.47 million by 2028, exhibiting a CAGR of 7.56% during the forecast period.

Staff shortage

The COVID-19 pandemic has brought major changes to human life and economic activities. Compared with other construction projects, tunnel construction faces a greater risk of epidemic spread and infection due to the characteristics of closed construction and poor ventilation. Due to the lockdown policy, vehicles and flights were cancelled, and difficulties for workers to return prevented them from resuming construction work. The lack of workers, equipment operators and technicians has fundamentally affected the tunnel construction work.

Interruption in the supply of construction materials

Due to the impact of the epidemic, suppliers are also facing shortages of workers and materials due to the lockdown policy. At the same time, the remote location of the tunnel construction project makes the supply and delivery of materials more difficult. In addition to construction materials, the supply of medical supplies and living supplies is extremely insufficient. The shortage of material supply has led to delays in the delivery of many tunnel construction projects, which is also a major problem faced by the tunnel construction industry during the epidemic.

Growing demand to alleviate traffic congestion

In 2018, there were 33 megacities with a population of more than 10 million and a total population of more than 500 million. It is estimated that by 2030, 60% of the world population will live in urban areas, and there will be more than 100 cities with a population of 5 million or more; This urban growth trend will continue throughout the 21st century. The ever-increasing urban population puts tremendous pressure on the urban transportation system. People living and working in major cities in the world are facing increasing congestion, delays, total travel time, costs, frustrations, accidents and loss of life. According to the INRIX (2018) global traffic scorecard, which analyzed the congestion and flow trends in more than 200 cities in 38 countries/regions, more than half of the cities recorded the loss of more than 100 hours per driver per year due to congestion. Population growth and urban expansion require a more efficient transportation system. Tunnel construction helps increase surface capacity and reduce surface traffic jams by expanding the use of underground space. At the same time, with the development of cities, the interconnection between cities also requires more underground traffic tunnels to connect. In addition, with the development of emerging economies, the demand for underground tunnels in cities in developing countries continues to expand.

Lack of mature labor

Human resources and labor costs are also the most important factors affecting tunnel construction. Many craftsmen with experience in most of their careers in the tunneling and mining industries are about to retire, and the younger generation is unlikely to consider the underground sector because it is not familiar to the general public. Even though many companies increase the basic wage rate and provide incentives and bonuses to attract qualified workers, this does not solve the problem of attracting new workers into the industry. Additional efforts are required at all levels to invest in training and training new workers. As a result, the shortage of skilled personnel will continue to limit growth and affect the development of the global tunnel construction industry.

Region Overview:


Geographically, Asia Pacific held the largest market share- 75.92% in 2021.


Company Overview:

China Railway Group Limited, China Railway Construction Corporation, Shanghai Tunnel Eng Co, Bechtel Corporation and Vinci Construction are the five key players in the global Tunnel Construction market. These companies have shown consistent growth in revenue, larger volumes of sales and a prominent presence in terms of share in the global Tunnel Construction market in the past 5 years.

Segmentation Overview:

By type, New Work segment accounted for the largest share of market in 2021.

Application Overview:

The market's largest segment by application is the segment Transportation Tunnel, with a market share of 72.25% in 2021.

Transportation Tunnel

Transportation tunnels mainly refer to tunnel projects that are used for transportation functions in the fields of railways, highways, and urban rail transit. With the growth of the urban population, the increase in the number and scale of megacities, and the reverse migration to cities, traffic tunnels have become more frequent solutions to congestion problems.

Utility Tunnel

Utility tunnel refers to the public underground space that can contain urban equipment such as drainage pipes, gas pipes, cables, heating pipes, etc. at the same time. The main function is the coordination of various devices to reduce the impact on the external environment. However, to apply this integrated facility to reality, more considerations are initial cost and compatibility issues.

Key Companies in the global Tunnel Construction market covered in Chapter 3:

China Railway Construction Corporation
China Communications Construction Company Limited
ITD Cementation India Limited
Vinci Construction
China Railway Group Limited
Bechtel Corporation
Doka India Private Limited
Nippon Koei Co., Ltd.
Tutor Perini Corp.
Kiewit Corp.
Shanghai Tunnel Eng Co

In Chapter 4 and Chapter 14.2, on the basis of types, the Tunnel Construction market from 2018 to 2029 is primarily split into:

New Work
Reconstruction
Repairs

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Tunnel Construction market from 2018 to 2029 covers:

Transportation Tunnel
Utility Tunnel

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)