Civil Engineering Market Analysis Report By Service, By Application, By Customer And Segment Forecasts From 2020 To 2027

Industry Insights

The global civil engineering market size was accounted for USD 8.73 trillion, in 2019 and is anticipated to grow at a CAGR of 5.4% over the forecast period of 2020 to 2027. The expansion of the real estate business promoting the construction of multistoried apartments and single-family dwellings in developing countries of the Asia Pacific region is projected to propel market growth.

The rapidly increasing rate of the urban population along with rising demand for their accommodation is one of the most important factors driving the market growth. Additionally, increasing infrastructural development supported by public-private partnerships in developing countries of the Asia Pacific and the Middle East is anticipated to boost the growth of the market.

The imposition of strict emission standards in course of construction activities in North America is anticipated to proliferate the demand for civil engineering services for on-time completion of projects according to the requisite standards. Additionally, a swift change of the construction sector from using ordinary construction materials to green building materials is anticipated to have a positive impact on the growth of the market in the upcoming years.

Players functioning in the market are majorly concentrating on using green building materials because of the new concept of energy efficiency and tenable building structures. Additionally, the constant introduction of innovative and new building materials and evolving technologies are also projected to facilitate profitable opportunities for the companies in the coming years. The market depends majorly on the developing construction industry, which further relies on macroeconomic and microeconomic factors. Therefore, the market is highly susceptible to cyclic fluctuations owing to economic downturns in the construction industry.

Increasing adaptation of innovative digital technologies is anticipated to have a positive impact on the growth of the civil engineering value chain all around the world. Hence, the evolution of advanced software and tools is projected to monitor the cost-effective and timely execution of construction projects in order to boost the market growth.

Service Insights

The segment of planning and design is anticipated to grow at the fastest CAGR of 6.1% over the forecast period, as it is one of the primary stages and important fundamental of civil engineering services and hence, most in demand. Additionally, the increasing importance of in-time completion and cost-efficiency of projects is expected to propel the growth of the segment. Increasing usage of innovative and extraordinary construction materials like cross-laminated timber, glue-laminated timber, and various other materials has driven the importance of planning and design as it plays an important role in the successful completion of building projects with great structural integrity.

The construction segment dominated the market with 27.7% of its share in 2019. Additionally, the recent development of construction equipment and improvised materials have increased the construction capabilities of the players in the industry, thereby, enhancing their profits, which is likely to have a positive impact on the demand for services in the forecast period. Construction services encompass building various structures like public infrastructure consisting of healthcare facilities, recreational parks, bus stations, railway stations and community centers, commercial and residential buildings. Hence, the rising demand for housing and initiatives by the government to promote infrastructural development is anticipated to boost the growth of the segment.

Customer Insights

The government sector was the primary customer dominating the market with 41.6% of share in 2019 because of several favorable frameworks and policies. Further, governments across the globe are constantly putting in their efforts to provide affordable housing to the rapidly increasing population, thereby, propelling the growth of the market. Governments are working on improving the infrastructure in their own countries over the upcoming years. Further, local and state governments in European countries are concerned with constructing a huge number of infrastructural projects.

The private sector consists of real estate developers, construction contractors, and individuals that are the main stakeholders of this market. Rising investments by private companies in construction activities like building new schools, housing projects, and developing healthcare centers are anticipated to drive the growth of the market. The construction industry is observing a rise in modular construction as the buildings are constructed offsite. These trends along with an increasing number of public-private partnerships are anticipated to boost the demand for civil engineering services in this sector in the forecast period.

Application Insights

On the basis of application, the civil engineering market is segmented into infrastructure, industrial, and real estate. The real estate application segment dominated the market with 41.9% of the share in 2019 because of the increasing demand for residential buildings, which is a result of rapid urbanization and increasing disposable income of the majority of the population.

Usage of advanced equipment, processes, and materials has considerably enhanced efficiency. Additionally, it has led to affordable pricing and greater capacity for construction activities. Further, the easy availability of financial and banking services owing to favorable government schemes is anticipated to promote the growth of the construction segment by 2027.

The infrastructure application segment is anticipated to grow at the fastest CAGR of 6.1% over the forecast period because of the increase in government investment in infrastructures and buildings in developing countries. Further, the developed nations have recovered from the previous economic degradation, thereby, concentrating on renovating their old infrastructures. Developing flexible infrastructures with the help of design and development are expected to have a positive impact on the growth of the segment. Further, enhancement in technical skills of the workforce especially design engineers to use recent technologies is also anticipated to boost the growth.

Regional Insights

The Asia Pacific dominated the market with a 32.5% share in 2019 and is projected to grow steadily over the upcoming years. The regional market is dependent on the easy availability of skilled labor at minimum cost and land, thereby, providing profitable growth opportunities for the market. The shift in the international production landscape has helped many developing countries like India. Additionally, the previously mentioned factors about land and labor have benefitted the construction sector in southeast Asian countries, thereby, propelling the growth of the market.

North America is anticipated to grow at a CAGR of 4% in the forecast period owing to the increasing number of government initiatives to renovate old infrastructures. Additionally, the emergence of improved construction technologies is anticipated to drive regional market growth in the upcoming years.

Europe accounted for USD 2.33 trillion in 2019 and is considered to be the second-largest market as the construction sector is one of the main contributors to the overall GDP for most of its countries. Additionally, positive indications in private and public debt are proliferating the growth of the industry and contributing to driving the regional market growth in the upcoming years.

Civil Engineering Market Share Insights

The major players in the industry include Amec Foster Wheeler plc; SNC-Lavalin; Jacobs Engineering Group, Inc.; AECOM; United States Army Corps of Engineers; and Galfar Engineering & Contracting SAOG. The players are majorly focused on introducing improved technologies like equipment and materials to build sustainable buildings. Most of the companies also concentrate on minimizing operational costs, improving the building quality, and enhancing output efficiency. Further, large investments in R&D for making energy and cost-efficient designs are a factor giving companies a competitive edge over one another.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2027. For the purpose of this study, Million Insights has segmented the global civil engineering market report based on service, application, customer, and region:

• Service Outlook (Revenue, USD Billion, 2016 - 2027)
    • Planning & Design
    • Construction
    • Maintenance
    • Others

• Application Outlook (Revenue, USD Billion, 2016 - 2027)
    • Real Estate
    • Infrastructure
    • Industrial

• Customer Outlook (Revenue, USD Billion, 2016 - 2027)
    • Government
    • Private
    • Others

• Regional Outlook (Revenue, USD Billion, 2016 - 2027)
    • North America
        • U.S.
        • Canada
        • Mexico
    • Europe
        • Germany
        • U.K.
        • France
        • Italy
        • Russia
        • Spain
        • Turkey
    • the Asia Pacific
        • China
        • India
        • Japan
        • Korea
        • Indonesia
    • Central & South America
        • Brazil
        • Argentina
    • Middle East & Africa
        • Saudi Arabia
        • UAE
        • Qatar