by The Precast Concrete Market is estimated to be valued at US$ 100.68 Bn in 2023 and is expected to exhibit a CAGR of 5.4% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Precast concrete is a construction product produced by casting concrete in a reusable mold or “form” which is then cured in a controlled environment, transported to the construction site and lifted into place. Precast concrete construction has advantages of accelerated construction, increased quality, cost efficiency, and less construction waste over site-cast concrete. Precast concrete products find applications in residential and non-residential construction for walls, floors, roof panels, stairs, and more.
Market key trends:
The rising application of precast concrete in infrastructure projects is a key trend driving the precast concrete market growth. Precast concrete provides advantages of speed, sustainability, and quality making it a preferred construction material for infrastructure projects including roads, bridges, tunnels, etc. Growing investments in infrastructure development globally to support economic growth is thus fueling demand for precast concrete. Additionally, rising urbanization is propelling the need for efficient and rapid construction of residential and commercial buildings which precast concrete addresses well, further supporting market growth over the forecast period.
Porter’s Analysis
Threat of new entrants: The Precast Concrete Market Size requires high capital investments and established distribution channels, limiting threats from new entrants. However, new technologies can lower entry barriers.
Bargaining power of buyers: Buyers in the precast concrete market have moderate bargaining power due to the availability of substitutes like cast-in-place concrete. However, precast offers time and cost benefits.
Bargaining power of suppliers: Cement and aggregate suppliers have moderate bargaining power due to the fragmentation in supply.
Threat of new substitutes: Cast-in-place concrete is the major substitute but precast offers advantages in construction speed.
Competitive rivalry: The precast concrete market is highly competitive due to numerous global and regional players.
SWOT Analysis
Strength: Precast offers benefits of speed, safety, and sustainability in construction. It also provides architectural design flexibility.
Weakness: Transportation and installation of large precast components require specialized equipment. Initial setup costs for precast plants are high.
Opportunity: Growth in infrastructure spending and rebuilding efforts post natural disasters will drive demand. Popularity of green buildings also provides opportunities.
Threats: Stringent environmental regulations increase compliance costs. Delays in projects can negatively impact demand.
Key Takeaways
The global precast concrete market is expected to witness high growth, exhibiting CAGR of 5.4% over the forecast period, due to increasing infrastructure development worldwide. The Asia Pacific region currently dominates the market and is expected to maintain its lead, driven by robust economic growth and government spending on infrastructure in countries such as China and India. North America is the second largest market for precast concrete supported by ongoing initiatives to upgrade and repair existing infrastructure in the US. Key players operating in the precast concrete market are Oldcastle Inc., Cemex Inc., Lafarge North America, HeidelbergCement, Holcim Inc., Vulcan Materials Co., Colas S.A., Martin Marietta Materials, MDU Resources, and Buzzi Unicem.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
