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Construction Industry in Russia Key Trends and Opportunities to 2021 | Market Research HUB
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After average annual growth of 12.0% during 20102014, the Russian construction industry registered a decline of 7.4% in 2015 and 2.1% in 2016 in real terms. This was due to Western sanctions, a fall in revenue generated from oil exports, and weak European market conditions. All these factors reduced the government’s infrastructure expenditure.
However, the industry is anticipated to post a slight recovery in 2017, as a result of the governments focus on developing the country’s manufacturing sector to diminish its reliance on oil exports.
Over 2017, the industry will be supported by government plans to complete transport infrastructure, energy and utilities projects, and residential buildings in anticipation of the 2018 Fifa World Cup. The industry’s output value in real terms is expected to post a compound annual growth rate (CAGR) of 1.76% over the forecast period (20162021).
'Construction in Russia' Key Trends and Opportunities to 2021' report provides detailed market analysis, information and insights into the Russian construction industry, including:
The Russian construction industry's growth prospects by market, project type and construction activity
Analysis of equipment, material and service costs for each project type in Russia
Critical insight into the impact of industry trends and issues, and the risks and opportunities they present to participants in the Russian construction industry
Profiles of the leading operators in the Russian construction industry
Data highlights of the largest construction projects in Russia
Scope
This report provides a comprehensive analysis of the construction industry in Russia. It provides:
Historical (2012-2016) and forecast (2017-2021) valuations of the construction industry in Russia using construction output and value-add methods
Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by project type
Breakdown of values within each project type, by type of activity (new construction, repair and maintenance, refurbishment and demolition) and by type of cost (materials, equipment and services)
Analysis of key construction industry issues, including regulation, cost management, funding and pricing
Detailed profiles of the leading construction companies in Russia
Reasons To Buy
Identify and evaluate market opportunities using MRH's standardized valuation and forecasting methodologies.
Assess market growth potential at a micro-level with over 600 time-series data forecasts.
Understand the latest industry and market trends.
Formulate and validate strategy using MRH’s critical and actionable insight.
Assess business risks, including cost, regulatory and competitive pressures.
Evaluate competitive risk and success factors.
Key Highlights
With robust and modern infrastructure vital to economic growth and international competitiveness, the government is focusing on infrastructure development. Accordingly, it plans to invest RUB11.6 trillion (US$364.4 billion) in the Development of Transport Systems of Russia program by 2020.
The government is focusing on the construction of a high-speed rail network and plans to construct 11,000km of track to connect Moscow, St Petersburg, Samara, Krasnodar and Novosibirsk by 2030.
According to the latest data from Ross tat, the total number of residential and non-residential buildings constructed in Russia grew by 0.7%, from 304,194 units in 2014 to 306,391 units in 2015. During the first half of 2016, the total number of buildings constructed grew by 1.0%, from 136,000 units in January June 2015 to 137,300 units in January June 2016.
Under the Energy Strategy of Russia 2030, the government plans to increase the countrys installed capacity by 52.7%, from 232.5GW in 2016 to 355445GW by 2030. Accordingly, it plans to invest RUB9.8 trillion (US$255.4 billion) in new power plants.
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To provide housing to the country’s middle- and low-income group, the government is focusing on the construction of affordable houses across the country. Accordingly, under the Housing for Russian Family program, the government aims to build 500,000 two-room apartments by 2018.
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