Sweden 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: 05-Nov-2024 | No of Pages: 111 | No. of Tables: 78 | No. of Figures: 43 | Format: PDF | Report Code : CM2206
Sweden Construction Market Overview
The Sweden Construction Market size was valued at USD 52.43 billion in 2023, and is predicted to reach USD 77.80 billion by 2030, at a CAGR of 7.9% from 2024 to 2030.
The construction market, also known as infrastructure market, plays a vital role in the economy by overseeing the entire lifecycle of various physical structures, including infrastructure, buildings, and facilities. This industry encompasses a wide array of projects, ranging from residential, commercial, and industrial developments to civil engineering and institutional infrastructure endeavors.
Collaboration among various stakeholders, including architects, engineers, contractors, suppliers, developers, investors, and government agencies, is essential for its operations. Positioned for growth, the industry is being driven by an increased emphasis on environmentally sustainable practices, such as the integration of green building materials and energy-efficient designs. Furthermore, factors such as rising per capita income in emerging economies and low-interest rates in developed nations are expected to further propel the expansion of the infrastructure market.
Government-Backed Infrastructure Projects is Driving Market Growth
The construction market in Sweden is witnessing robust growth, propelled by an increasing number of infrastructure projects supported by the government. These initiatives primarily target the enhancement of railway and transportation systems, serving as key catalysts for the industry's expansion. Additionally, the Swedish government unveiled a substantial national infrastructure investment plan spanning from 2022 to 2027.
This strategic endeavor, valued at USD 91.27 billion, aims to modernize and elevate the country's infrastructure, with a particular focus on transportation networks. The investment plan encompasses significant rail-centric projects, including the expansion of the East Coast Line, the establishment of a four-track line between Uppsala and Stockholm County, and the extension of the Gavle – Kringlan rail section.
Growth of the Infrastructure Sector is Contributing to Market Growth
The overall market expansion in Sweden is attributed to the significant growth of the construction market, commands a substantial portion of the GDP. According to a report by UNECE, the infrastructure sector's contribution to Sweden's GDP stood at 6.6% in 2022, surpassing that of other European countries such as Spain, Norway, and the Netherlands. This noteworthy contribution of the infrastructure sector to Sweden's GDP serves as a primary driver for the market's overall growth trajectory.
Challenges of Regulatory Complexities in Infrastructure Hinders the Market Growth
Navigating through regulatory complexities presents a formidable challenge for the construction market. Infrastructure endeavors encounter hurdles due to the intricate maze of government regulations and permitting procedures. Infrastructure projects require a multitude of permits and approvals from various governmental bodies, spanning local, regional, and national levels.
These permissions involve adherence to zoning regulations, environmental assessments, compliance with building codes, safety standards, and other regulatory requirements. Lengthy permit acquisition processes, bureaucratic inefficiencies, and regulatory variations among jurisdictions can significantly extend project timelines and escalate 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 construction market is undergoing a transformative phase with the integration of digitalization and the adoption of Building Information Modeling (BIM). Leveraging advanced technologies, such as BIM, enhances efficiency, accuracy, and collaboration across diverse projects. BIM, a sophisticated 3D modeling tool, empowers stakeholders to create and manage digital representations of structures and infrastructure, facilitating better coordination and communication among project teams. For instance, in September 2022, the National Institute of Building Sciences (NIBS) initiated the Sweden National Building Information Management (BIM) Program.
This program aims to revolutionize the infrastructure sector, achieving unprecedented levels of industrial efficiency through digitalization. By addressing the inadequacy of digitalization within the Sweden infrastructure sector, the initiative seeks to streamline lifecycle work processes, making them more efficient, cost-effective, resilient, and safer for infrastructure and maintenance.
Competitive Landscape
The market players operating in the Sweden infrastructure industry include JM AB, NCC AB, PEAB AB, SKANSKA AB, Veidekke Sverige, Serneke Group AB, AF Gruppen Sverige, Svevia AB, Erlandsson Bygg AB, Wästbygg Gruppen AB, and others.
Sweden 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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JM AB
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NCC AB
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PEAB AB
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SKANSKA AB
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Veidekke Sverige
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Serneke Group AB
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AF Gruppen Sverige
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Svevia AB
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Erlandsson Bygg AB
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Wästbygg Gruppen AB
REPORT SCOPE AND SEGMENTATION:
|
Parameters |
Details |
|
Market Size in 2023 |
USD 52.43 Billion |
|
Revenue Forecast in 2030 |
USD 77.80 Billion |
|
Growth Rate |
CAGR of 7.9% 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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