Thailand Construction Market by Type (Renovation and New Construction), and by Sector (Real Estate, Infrastructure, and Industrial)–Opportunity Analysis and Industry Forecast, 2024–2030
Industry: Construction & Manufacturing | Publish Date: 31-Oct-2024 | No of Pages: 111 | No. of Tables: 78 | No. of Figures: 43 | Format: PDF | Report Code : CM2224
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Thailand Construction Market Overview
The Thailand Construction Market size was valued at USD 94.04 billion in 2023, and is predicted to reach USD 182.41 billion by 2030, at a CAGR of 9.3% from 2024 to 2030.
The construction market, known interchangeably as infrastructure market, plays a crucial role in the economy, overseeing the entire lifecycle of diverse physical structures, encompassing infrastructure, buildings, and facilities. This industry undertakes a broad spectrum of projects, spanning from residential, commercial, and industrial developments to civil engineering and institutional infrastructure ventures.
Collaboration among numerous stakeholders, including architects, engineers, contractors, suppliers, developers, investors, and government agencies, is indispensable for its functioning. Positioned for growth, the industry is being propelled by an increased focus on environmentally sustainable practices, such as the incorporation of green building materials and energy-efficient designs. Additionally, factors such as the rising per capita income in emerging economies and low-interest rates in developed nations are expected to further drive the expansion of the market.
Growth Driven by Large-Scale Industrial Project Propels the Market Growth
The construction market in Thailand is experiencing substantial growth, primarily due to the surge in large-scale industrial projects. Among the most notable projects in 2023 were the Laem Chabang Port Expansion, Rayong Electric Vehicle Production Facility, Jomtien Beach Resort, Bangkok Semiconductor Manufacturing Factory, and Mahasawat Bridge Development. These significant undertakings played a crucial role in the expansion of Thailand's infrastructure market.
Increased Investment Drives the Market Growth
The burgeoning investments towards infrastructure activities in Thailand are significantly fueling the growth of the construction market. According to a report by the Global Infrastructure Hub, infrastructure investment in the infrastructure sector reached an impressive USD 15 billion in 2023. Notably, the energy sector accounted for the largest share with USD 8.5 billion, followed by the road transport sector with USD 2.7 billion.
This positive investment trend is expected to continue, further bolstering the market's growth and development. This is a promising sign for the Thai economy, as the market plays a crucial role in economic growth and development.
Regulatory Complexities Hindering Market Growth
Navigating regulatory complexities presents a significant challenge in the construction market. Infrastructure projects often face hurdles due to the intricate network of government regulations and permitting procedures. Infrastructure initiatives require numerous permits and approvals from governmental bodies at local, regional, and national levels.
These mandates include adherence to zoning regulations, environmental assessments, compliance with building codes, safety standards, and various other regulatory requirements. Lengthy permit acquisition processes, bureaucratic inefficiencies, and regulatory disparities among different jurisdictions can significantly prolong project timelines and inflate costs. Moreover, fluctuations in regulations or unexpected policy changes can disrupt ongoing projects and deter potential investments.
Integration of Digitalization and BIM Presents Lucrative Opportunity for Market Expansion
The infrastructure industry in Thailand is undergoing a significant transformation with the integration of digitalization and the adoption of Building Information Modeling (BIM). Advanced technologies such as BIM are enhancing efficiency, accuracy, and collaboration across diverse projects. BIM, a sophisticated 3D modeling tool, enables stakeholders to generate and manage digital representations of structures and infrastructure, facilitating improved coordination and communication among project teams.
For instance, in September 2022, the National Institute of Building Sciences (NIBS) launched the Thailand National Building Information Management (BIM) Program. This initiative aims to revolutionize the market, achieving unprecedented levels of industrial efficiency through digitalization. By addressing the inadequacy of digitalization within the Thai infrastructure sector, the program seeks to streamline lifecycle work processes, enhancing efficiency, cost-effectiveness, resilience, and safety for infrastructure and maintenance projects.
Competitive Landscape
The market players operating in the Thailand infrastructure industry include Italian-Thai Development Public Company Limited (ITD), Sino-Thai Engineering Public Co. Ltd., CH. Karnchang Public Company Limited, Thai Obayashi Corporation Limited, Unique Engineering and Construction PCL, Raimon Land Public Company Limited, Nawarat Patanakarn Public Company Limited (NWR), Power Line Engineering Public Company Limited, Syntec Construction Public Company Limited, Christiani & Nielsen (Thai) Public Company Limited, and others.
Thailand Construction Market Key Segments
By Type
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Renovation
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New Construction
By Sector
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Real Estate
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Residential
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Affordable
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Luxury
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Commercial
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Retail Buildings
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Office Buildings
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Hospitality
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Healthcare Facilities
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Educational Institutes
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Entertainment Ventures
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-
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Infrastructure
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Transportation
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Airport
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Port
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Rail
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Road
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Water and Wastewater
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Energy
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Telecommunication
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Industrial
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Manufacturing Plant
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Warehouses
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Power Plants
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Oil Refineries
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Chemical Plants
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Key Players
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Italian-Thai Development Public Company Limited (ITD)
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Sino-Thai Engineering Public Co. Ltd.
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CH. Karnchang Public Company Limited
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Thai Obayashi Corporation Limited
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Unique Engineering and Construction PCL
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Raimon Land Public Company Limited
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Nawarat Patanakarn Public Company Limited (NWR)
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Power Line Engineering Public Company Limited
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Syntec Construction Public Company Limited
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Christiani & Nielsen (Thai) Public Company Limited
REPORT SCOPE AND SEGMENTATION:
|
Parameters |
Details |
|
Market Size in 2023 |
USD 94.04 Billion |
|
Revenue Forecast in 2030 |
USD 182.41 Billion |
|
Growth Rate |
CAGR of 9.3% from 2024 to 2030 |
|
Analysis Period |
2023–2030 |
|
Base Year Considered |
2023 |
|
Forecast Period |
2024–2030 |
|
Market Size Estimation |
Billion (USD) |
|
Growth Factors |
|
|
Companies Profiled |
10 |
|
Market Share |
Available for 10 companies |
|
Customization Scope |
Free customization (equivalent up to 80 working hours of analysts) after purchase. Addition or alteration to country, regional, and segment scope. |
|
Pricing and Purchase Options |
Avail customized purchase options to meet your exact research needs. |
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