The US Construction Industry is Projected to Grow by Over 15% in 2021 Despite Near-Term Challenges

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Jun 28, 2021, 12:45 ET

DUBLIN, June 28, 2021 /PRNewswire/ -- The "United States Construction Industry Databook Series - Market Size & Forecast (2016 - 2025) by Value and Volume (area and units) across 40+ Market Segments in Residential, Commercial, Industrial, Institutional and Infrastructure Construction - Q1 2021 Update" report has been added to ResearchAndMarkets.com's offering.

Construction activities and the workers were deemed essential in the wake of the coronavirus outbreak in the United States. While construction continued in most parts of the country, several factors resulted in project delays.

Economic shutdown and supply chain disruptions jeopardized operations and construction schedules. Moreover, contractors were also hit as the sub-contractors were not able to report to the jobs.

All of these factors contributed to the decline of the construction sector output in the United States in 2020. The decline in the output of the construction sector is also reflected in the real Gross Domestic Product (GDP) of the country.

However, several projects are under construction in various sectors including residential, institutional, and industrial and infrastructure. All of these projects are expected to support the recovery of the construction industry in 2021.

The impact of the coronavirus outbreak on residential building construction was reduced as sales continued. However, the unemployment rate is still a challenge in the country and consumer confidence is still below the pre-covid levels. Moreover, with infection rates also resurging, several states are rolling back the reopening of economic activities. However, stimulus from the government has offset some of these uncertainties. While the outlook for the residential sector is better than previously estimated, it remains subdued for 2021.

Low mortgage rates, limited existing inventory, and government protection against forbearance and foreclosure on mortgage payments will offer support for market recovery.

To build the Cybertruck plant, Tesla recently bought 381 acres of land in Austin, Texas. Construction activities of its US$1.1 billion manufacturing project will offer much-needed assistance for the growth of the industrial buildings sector.

Additionally, Ferrero North America has also announced its plan of constructing a new chocolate manufacturing unit in Illinois. Set to the first production plant for the company in North America, the manufacturing unit will involve a total investment of US$75 million. With construction activities set to commence by spring 2021, it will also boost the recovery of the construction sector in the country.

The coronavirus outbreak in the United States has clearly shown the shortage of healthcare centers in the country. Even before the pandemic broke out, the country had announced the expansion and construction of new facilities to support hospitals and save beds for the patients who needed them the most.

In response to overcrowding in various hospitals, several institutions announced their plans to expand their current capacity. For instance, the Children's Hospital of Philadelphia is planning to spend US$3.4 billion on the construction of a 22-story inpatient tower adding 300 beds and around 200 rooms if required. The inpatient tower is expected to cost US$1.7 billion and is likely to be operational by 2027. Additionally, they are planning to add three more buildings.

Some of the key projects include - US$ 1.79 billion Ohio State's Wexner Medical Center in Columbus, US$1.74 billion Harborview Medical Center in Seattle, US$1.6 billion Indiana University Health in Indianapolis, US$1.2 billion UCSF Helen Diller Medical Center in San Francisco, US$1 billion Brooklyn Hospital Center in New York City, US$1 billion City of Hope National Medical Center in California, and US$1 billion Mount Sinai Beth Israel in New York City.

In the infrastructure sector, the construction activities of the Class-A logistics park in Texas is a key project in 2021. The two-phase development of the project will be constructed on the 68-acre. Known as Park 290, the Class-A logistics park will occupy 826,000 square feet. Construction activities of Park 290 are expected to commence in the second half of 2021. Additionally, construction activities for the 144MW Pflugerville Solar Project in Texas have also begun.

According to this Q4 2020 Global Construction Survey, the construction industry in the United States is expected to grow by 15.6% to reach US$ 1515659.4 million in 2021. Despite near-term challenges in certain construction sectors, the medium to long term growth story in the United States remains intact. The construction industry in the United States is expected to grow steadily over the next four quarters. The growth momentum is expected to continue over the forecast period, recording a CAGR of 4.7% during 2021-2025. The construction output in the country is expected to reach US$ 1819106.1 million by 2025.

This report provides data and trend analyses on the construction industry in the United States, with over 100 KPIs. This is a data-centric report and it provides trend analyses with over 140+ charts and 110+ tables. It details market size & forecast, emerging trends, market opportunities, and investment risks in over 40 segments in residential, commercial, industrial, institutional, and infrastructure construction sectors.

It provides a comprehensive understanding of construction industry sectors in both value and volume (both by activity and units) terms. The report focuses on combining industry dynamics with macro-economic scenario and changing consumer behavior to offer a 360-degree view of the opportunities and risks.

Scope

Market Data and Insights: This report provides market size and forecast across 40+ construction segments for a period of 10 years from 2016-2025 in the United States. KPIs covered include the following:

Market size by value
Market size by volume of construction
Number of units

United States Residential Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by:

Housing type (multi family, single family)
Key cities (Tier - 1, Tier - 2, Tier - 3 segmentation)
Price point/income level (luxury, mid-tier, affordable)
Construction stage (new construction, re-development & maintenance)

United States Residential Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by:

Green building by Housing type (multi family, single family)
Green building by Key cities (Tier - 1, Tier - 2, Tier - 3 segmentation)
Green building by Price point/income level (luxury, mid-tier, affordable)

United States Commercial Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by:

Office (further broken down by Grade A, Grade B, and Grade C)
Retail (further broken down by Grade A, Grade B, and Grade C)
Hospitality (further broken down by Grade A, Grade B, and Grade C)
Restaurant (further broken down by Grade A, Grade B, and Grade C)
Entertainment
Sports facility
Construction stage (new construction, re-development & maintenance)

United States Commercial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by:

Office green building construction
Retail green building construction
Hospitality green building construction
Restaurant green building construction
Entertainment green building construction
Sports facility green building construction
Other commercial green building construction
United States Industrial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units)

United States Institutional Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by:

Healthcare construction
Educational construction
Public sector
construction stage (new construction, re-development & maintenance)

United States Institutional Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by:

Healthcare green building construction
Educational green building construction

United States Infrastructure Construction Sectors: 10- year market size & forecast in value terms by:

Marine and inland water infrastructure
Utility system construction (oil and gas infrastructure, communication infrastructure, power infrastructure, water and sewer infrastructure)
Transportation infrastructure (highway, street and bridge construction, railway construction, airport construction, and tunnel construction)
Construction stage (new construction, re-development & maintenance)
United States Green Infrastructure Construction: 10- year market size & forecast in value terms

Key Topics Covered:

1. About this Report

2. United States Construction Industry Dynamics and Growth Prospects

3. United States Residential Construction Industry Market Size and Forecast

4. Analysis by Residential Construction Markets Outlook by Construction type

5. Analysis by Residential Construction Markets Outlook by Key Cities

6. Analysis by Residential Construction Markets Outlook by Price Point

7. United States Commercial Construction Industry Market Size and Forecast

8. Office Building Construction Outlook

9. Retail Building Construction Outlook

10. Hospitality Building Construction Outlook

11. Restaurant Building Construction Outlook

12. Sports Facility Building Construction Outlook

13. Other Commercial Building Construction Outlook

14. United States Institutional Construction Industry Market Size and Forecast

15. Outlook and Growth Dynamics by Institutional Building Construction Sectors

16. United States Industrial Construction Industry Market Size and Forecast

17. Outlook and Growth Dynamics by Industrial Building Construction Sectors

18. Infrastructure Construction Outlook

19. United States Marine and Inland Water Infrastructure Construction Industry Market Size and Forecast

20. United States Utility System Infrastructure Construction Industry Market Size and Forecast

21. United States Transport Infrastructure Construction Industry Market Size and Forecast

For more information about this report visit https://www.researchandmarkets.com/r/9jgd8o

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SOURCE Research and Markets