The Future of Construction in Switzerland to 2015: Recovery in Export and Consumer Spending to Support Construction by ICDResearch

VIEWS: 3 PAGES: 137

More Info
									                           Construction
                           Industry Forecast Report




The Future of Construction in
Switzerland to 2015: Recovery in
Export and Consumer Spending to
Support Construction
Reference code: CN0024MR

Published: August 2011




                              www.icd-research.com
 EXECUTIVE SUMMARY



1 Executive Summary
        Switzerland underwent a period of recession in mid-2008 causing delays in construction projects and a
        decline in new orders. Consequently, the Swiss construction industry decelerated in 2009 and grew at a
        reduced pace of 1.6%, after registering a growth of 4.9% in 2008. Similarly, all the markets within the
        construction industry recorded decelerated growth rates, with the commercial construction market being the
        most effected registering a 4.8% decline. However, the impact of the global economic crisis was not
        sustained and the Swiss economy entered into a period of recovery from the third quarter of 2009 on the
        back of strong public consumption levels and increased exports. As a result, the Swiss construction industry
        recorded a 3.0% increase in 2010, as most of the delayed heavy construction projects resumed and
        favorable market conditions returned.

        The residential construction market grew at a compound annual growth rate (CAGR) of 2.13% over the
        review period. The market was affected by rising unemployment, stagnating wages and a reduction in
        immigration. Aided by an increase in the number of immigrants living and working in the country, the
        residential construction market increased 2.4% in 2010. Growth in demand was primarily the result of
        economic policies such as adjusting interest rates to increase housing in the country. The market is expected
        to achieve a CAGR of 3.79% over the forecast period.

        The commercial construction market recorded a CAGR of 0.54% during the review period. Such weak growth
        was the result of a lack of investments as firms halted construction activities over the review period (2006–
        2010). However, the commercial construction market recorded a growth of 2.5% in 2010, due to the 3.1%
        and 2.8% growth in leisure and hospitality buildings and retail buildings categories. With a clear growth in the
        retail industry and developments in the hospitality sector, the Swiss commercial construction market is
        anticipated to register a CAGR of 3.54% over the forecast period.

        The infrastructure construction market grew at a CAGR of 5.81% during the review period. The market
        growth was largely driven by the energy and communications infrastructure category, the other infrastructure
        projects and the road infrastructure category, which recorded CAGRs of 8.08%, 11.53% and 7.58%,
        respectively. On account of large scale government investment into infrastructure, the market is expected to
        register a CAGR of 6.51% over the forecast period.

        The institutional construction market was the fastest growing market during the review period growing at a
        CAGR of 7.73%. The market growth was largely supported by the strong performance of the institutional
        buildings category and research facilities category, which registered CAGRs of 18.59% and 11.66%,
        respectively. Significant public investment in the country‘s education and healthcare segments has led ICD to
        anticipate that the Swiss institutional construction market will record a CAGR of 3.29% over 2010–2015.

        The industrial construction market grew at a CAGR of 2.69% over the review period. The market growth was
        largely driven by growth in the refinery buildings category and the waste processing plants category, which
        recorded CAGRs of 21.65% and 7.08%, respectively. Subject to increases in the export of industrial
        productions, the Swiss industrial construction market is forecast to record a CAGR of 2.87% by 2015.




The Future of Construction in Switzerland to 2015: Recovery in Export and Consumer
                                                                                                                    Page 2
Spending to Support Construction

© ICD Research. This product is licensed and is not to be photocopied                                Published: August 2011
 TABLE OF CONTENTS



TABLE OF CONTENTS

1      Executive Summary .............................................................................................................. 2
2      Introduction ......................................................................................................................... 11
    2.1 What is this Report About? ..............................................................................................................11
    2.2 Definitions .......................................................................................................................................11
    2.3 Summary Methodology ...................................................................................................................13
3      Construction Industry Analysis ......................................................................................... 16
    3.1 Construction Industry Overview.......................................................................................................16
    3.2 Industry Dynamics...........................................................................................................................17
4      Construction Industry Data ................................................................................................ 18
    4.1 Historic Industry Value Review ........................................................................................................18
    4.2 Historic Industry Segmentation Review ...........................................................................................19
    4.3 Industry Value Forecast ..................................................................................................................21
    4.4 Industry Segmentation Forecast......................................................................................................22
5      Construction Industry: Market Analysis ........................................................................... 24
    5.1 Commercial Construction Market Analysis ......................................................................................24
        5.1.1     Market Dynamics ...................................................................................................................................... 25
        5.1.2     Commercial Construction Market Value Review ...................................................................................... 26
        5.1.3     Commercial Construction Market Segmentation Review ......................................................................... 27
        5.1.4     Commercial Construction Market Value Forecast .................................................................................... 29
        5.1.5     Commercial Construction Market Segmentation Forecast ....................................................................... 30
    5.2 Commercial Construction: Category Analysis ..................................................................................32
        5.2.1     Leisure and Hospitality Construction Category Value Review ................................................................. 32
        5.2.2     Leisure and Hospitality Construction Category Value Forecast ............................................................... 33
        5.2.3     Office Buildings Construction Category Value Review ............................................................................. 34
        5.2.4     Office Buildings Construction Category Value Forecast .......................................................................... 35
        5.2.5     Outdoor Leisure F
								
To top