Taiwan Construction Market by Type (Renovation and New Construction), and by Sector (Real Estate, Infrastructure, and Industrial)–Opportunity Analysis and Industry Forecast, 2024–2050

Taiwan Construction Market by Type (Renovation and New Construction), and by Sector (Real Estate, Infrastructure, and Industrial)–Opportunity Analysis and Industry Forecast, 2024–2050

The Taiwan Construction Market size was valued at USD 56.55 billion in 2023, and is predicted to reach USD 74.35 billion by 2030, at a CAGR of 3.4% from 2024 to 2030.

Taiwan's construction industry is currently undergoing rapid expansion, primarily fueled by the government's heightened emphasis on infrastructure development, particularly in railway initiatives. In January 2024, the Taiwanese government, under the auspices of the Ministry of Transportation and Communications, greenlit the commencement of the Blue Line project, the second metro line in Taiwan. Spanning 24 kilometers with 20 stations, this line will link the eastern and western regions of Taichung and is slated to become operational in approximately a decade, with an estimated budget of USD 5.05 billion. While the government earmarked USD 2.1 billion for the project, the Taichung authorities will contribute USD 2.93 billion. Additionally, the Taiwanese government is actively engaged in other metro projects within the construction market, including the Taipei Circular Line. For this endeavor, an Alstom-led consortium, in collaboration with the Taiwanese engineering and contracting services firm CTCI, secured a contract to deliver an integrated metro system.

However, the construction industry faces significant challenges due to the complex web of government regulations and permitting procedures. These processes often require multiple approvals from various levels of authority, spanning local to national bodies. The regulatory framework encompasses a wide range of requirements, including zoning regulations, environmental assessments, adherence to building codes, and safety standards. Delays in obtaining permits, bureaucratic inefficiencies, and inconsistencies across jurisdictions can greatly extend project timelines and inflate costs. Additionally, fluctuations in regulations or sudden policy changes can disrupt ongoing projects and discourage potential investments. For example, the United States Environmental Protection Agency (EPA) oversees various aspects of the construction sector, such as air quality, waste disposal, and water regulations, providing compliance assistance resources throughout different construction phases.

Conversely, the construction sector is undergoing a transformative shift driven by digitalization and the adoption of Building Information Modeling (BIM). These advancements are revolutionizing project management processes by integrating state-of-the-art technologies to improve efficiency, accuracy, and collaboration. BIM, an advanced 3D modeling tool, empowers stakeholders to create and manage digital representations of structures and infrastructure, fostering enhanced coordination and communication among project teams. For instance, the National Institute of Building Sciences (NIBS) launched the U.S. National Building Information Management (BIM) Program in September 2022. This initiative aims to modernize the construction industry and achieve unprecedented levels of industrial efficiency through digitalization. By addressing the digitalization gap in the U.S. construction sector, this program aims to optimize work processes, thereby enhancing efficiency, cost-effectiveness, resilience, and safety in construction and maintenance activities.

KEY BENEFITS

The Taiwan construction industry is segmented based on type, and sector.
Based on type, the market is segmented renovation and new construction.
Based on sector, the market is divided into real estate, infrastructure, and industrial.

Key Market Players

Leading players operating in the Taiwan construction industry include:
• China State Construction Engineering Corp. Ltd. (CSCEC)
• China Railway Group Ltd. (CREC)
• China Railway Construction Corp. Ltd. (CRCC)
• China Communications Construction Group Ltd. (CCCC)
• Metallurgical Corporation of China Ltd. (MCC)
• Power Construction Corp. of China
• Vinci SA
• China Energy Engineering Corp. (CEEC)
• Shanghai Construction Group (SCG)
• Bouygues Group

 KEY BENEFITS
• The Taiwan construction market report provides a quantitative analysis of the current market and estimations through 2024-2030 that assists in identifying the prevailing market opportunities to capitalize on.
• The study comprises a deep dive analysis of the market trend including the current and future trends for depicting the prevalent investment pockets in the market.
• The information related to key drivers, restraints, and opportunities and their impact on the market is provided in the report.
• The competitive analysis of the market players along with their market share in the Taiwan construction market.
• The SWOT analysis and Porter’s Five Forces model are elaborated in the study.
• Value chain analysis in the market study provides a clear picture of the stakeholders’ roles.