(MENAFN- GlobeNewsWire - Nasdaq) Dublin, April 16, 2025 (GLOBE NEWSWIRE) -- The "Prefabricated Buildings Market - Focused Insights 2025-2030" report has been added to ResearchAndMarkets.com's offering.
The Prefabricated Buildings Market was valued at USD 146.47 billion in 2024, and is projected to reach USD 208.10 billion by 2030, rising at a CAGR of 6.03%. The global prefabricated buildings market report consists of exclusive data on 30 vendors. Algeco Scotsman, ATCO, Berkeley Group, Bouygues International, CIMC Modular Building, and Red Sea Housing Services are the major players in the global prefabricated market. Algeco Scotsman is one of the prominent players in the global prefabricated buildings market, offering modular space solutions and turnkey services that cater to various industries, including construction, education, and healthcare. Bouygues International is a major force in the prefabricated buildings market, leveraging modular construction to deliver cost-effective and efficient solutions for large-scale infrastructure and commercial projects globally.
APAC dominates and holds the largest share of over 39% in the global prefabricated buildings market. The Asia-Pacific region, particularly countries like China, India, Japan, and Australia, is experiencing rapid urbanization, driving significant demand for prefabricated buildings. The region's expanding middle class and the growing need for sustainable housing solutions are key factors fueling the growth of the prefabricated market.
In China, government initiatives such as the "Made in China 2025" policy emphasize the development of smart, sustainable, and energy-efficient prefabricated buildings. This focus on modernizing infrastructure and providing affordable housing for urban populations is accelerating the adoption of prefabricated solutions. Similarly, India's robust infrastructure development, coupled with rising demand for affordable housing, is boosting the adoption of prefabricated buildings, particularly in urban hubs like Mumbai, Delhi, and Bangalore. These trends reflect a broader regional shift toward innovative, cost-effective, and sustainable construction practices.
MARKET TRENDS
Technological Advancements
Technological innovations such as advances in Building Information Modeling (BIM), 3D printing, and automated manufacturing processes are revolutionizing the prefabricated buildings market. BIM is a digital tool that allows for the creation of precise 3D models of buildings, helping architects, engineers, and contractors visualize the entire project before construction begins. This technology improves communication between stakeholders, reduces errors, and enhances project efficiency by identifying potential issues early on.
Moreover, BIM enables better project management, reducing costs and delays while streamlining decision-making processes. 3D printing technology is particularly impactful, allowing for the production of complex and customized building components with high precision and minimal waste. This technology has the potential to create unique architectural designs at a lower cost than traditional methods, as it significantly reduces material waste and production time. Additionally, 3D printing can be used to produce smaller, specialized parts for prefabricated buildings, such as customized fixtures, making the entire construction process more adaptable. Automated manufacturing processes are another key advancement, ensuring faster and more consistent production of prefabricated components.
Rising Shift Towards Sustainability
The growing demand for sustainability is one of the most significant trends in the prefabricated buildings market. As concerns about climate change and resource depletion continue to rise, there is a clear shift towards energy-efficient and environmentally friendly construction practices. Prefabricated buildings are inherently more sustainable than traditional buildings because they are constructed in controlled environments, which allow for more efficient use of materials and reduce construction waste. The use of sustainable materials is also becoming increasingly prevalent. Materials like recycled steel, eco-friendly insulation, bamboo, and timber are being incorporated into prefabricated buildings to minimize environmental impact.
These materials are often sourced from renewable resources, making them a more sustainable choice compared to conventional building materials. Additionally, reducing waste during construction is a key focus in the prefabricated buildings sector. Since many components are pre-manufactured off-site, there is less material waste generated at construction sites, which helps reduce the overall carbon footprint of the project. This also contributes to lowering costs by reducing the need to transport surplus materials to and from the site. The integration of renewable energy sources, such as solar panels or wind energy systems, into prefabricated buildings is also on the rise.
MARKET DRIVERS
Rise In Urbanization & Affordable Housing
Urbanization is a key driver behind the demand for prefabricated buildings, especially as the world's population increasingly migrates to urban centers. As cities expand and face rising housing demands, affordable housing becomes a top priority. Traditional construction methods often struggle to meet these demands due to high costs, long construction timelines, and the increasing scarcity of land in urban areas.
Prefabricated buildings offer a highly effective solution, providing cost-efficient and quickly constructed housing units. The ability to rapidly build prefabricated homes or apartments helps address the housing shortage in urban areas, making housing more accessible to people with lower incomes. Moreover, prefabricated buildings can be designed to fit the specific needs of urban environments, with flexible layouts and sustainable features, aligning well with the needs of modern cities.
Rising Preference For Modular Construction
There is an increasing preference for modular construction within the prefabricated buildings market due to its numerous benefits, particularly in terms of speed, flexibility, and scalability. Modular construction involves the prefabrication of building components, or modules, off-site in controlled environments. These modules are then transported to the construction site and assembled into the final structure. This approach offers the advantage of parallel work processes, as site preparation and module manufacturing can occur simultaneously, significantly reducing construction time.
Moreover, modular buildings can be easily expanded or reconfigured, offering long-term flexibility for changing needs. This method is increasingly used in various sectors, including residential, commercial, and educational buildings, as it provides efficient and adaptable solutions for clients. As businesses and homeowners look for faster, more customizable building options, modular construction is becoming a preferred choice for developers around the world.
INDUSTRY RESTRAINTS
High Initial Investments
One of the significant challenges in the prefabricated buildings market is the high initial investment required for setting up manufacturing facilities, procuring advanced technology, and securing materials. Although prefabricated buildings are cost-effective in the long run due to reduced labor and construction time, the upfront costs associated with building the factory infrastructure, acquiring machinery for automated manufacturing, and investing in design and engineering capabilities can be substantial.
These high initial costs can deter smaller developers and companies from adopting prefabricated solutions, particularly in emerging markets where capital investment is a concern. Additionally, while economies of scale can help reduce costs over time, the initial financial burden remains a barrier to widespread adoption, particularly for businesses looking for quick returns on investment.
RECENT DEVELOPMENT
In November 2024, Algeco UK completed a modular building for GRIDSERVE's Electric Forecourt in Stevenage, featuring retail and coffee outlets near 30 EV charging bays. This project highlights the growing use of modular construction in the electric vehicle infrastructure sector, emphasizing speed, sustainability, and cost-efficiency. Algeco is well-positioned to expand its presence in the EV market as demand for rapid deployment of charging stations rises globally. In October 2023, Algeco, in partnership with Hygieia, launched a range of modular Community Diagnostic Centres (CDCs) in three standard sizes for the healthcare sector. The modular construction approach allows for flexible, scalable, and efficient healthcare facilities that can be quickly deployed. This development is expected to drive further adoption of prefabricated solutions in healthcare infrastructure, positioning Algeco as a leader in meeting the growing demand for diagnostic facilities.
KEY TAKEAWAYS
By System: The cellular system holds the largest market share of over 35%. Cellular systems are rapidly gaining popularity in residential construction, especially in high-density urban areas where optimizing space is essential. By Material: The wood segment shows the highest growth of 6.79% due to its sustainability, aesthetic appeal, and versatility. By End Users: The non-residential holds the largest market share, with increasing demand for fast-track construction in commercial, industrial, and infrastructure projects. By Geography: APAC dominates and holds the largest market share of over 39% The region's growing middle class, coupled with the need for sustainable housing solutions, is fueling the growth of the global prefabricated buildings market. Growth Factor: The global prefabricated buildings market is growing due to the rise in urbanization & affordable housing and the rising preference for modular construction.
Key Attributes:
CONTACT:
CONTACT:
Laura Wood,Senior Press Manager
...
For E.S.T Office Hours Call 1-917-300-0470
For U.S./ CAN Toll Free Call 1-800-526-8630
For GMT Office Hours Call +353-1-416-8900
Comments
No comment