With rapid urbanization and growing infrastructure development activities across both developed and developing regions, the demand for construction aggregates such as sand, gravel, crushed stone, slag, recycled concrete and geosynthetic have been witnessing strong growth globally over the past decade. Construction aggregates are basic construction materials that are used in building roads, buildings, and infrastructure projects. They provide bulk, strength andfiller to construction applications.
The global construction aggregate market is estimated to be valued at US$ 470 Bn in 2023 and is expected to exhibit a CAGR of 6% over the forecast period 2023-2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Rapid urbanization and infrastructure development
One of the key factors propelling the growth of the global construction aggregates market is rapid urbanization coupled with growing infrastructure development activities across both developing and developed regions. According to the UN projections, around 68% of the world’s population is expected to live in urban areas by 2050. This rapid urban transition is necessitating ambitious investments in urban infrastructure projects ranging from housing, transportation, water supply and sanitation. Similarly, developing economies are investing heavily in road construction and development of rail, airports and sea ports to boost long-term economic growth. The rising construction activities for bridges, dams, railways and other civil engineering structures has been augmenting the demand for aggregates in the construction industry.
SWOT Analysis
Strength: Construction aggregates like sand, gravel and crushed stone are abundantly available natural resources. Growing infrastructure and construction activities offer huge market demand.
Weakness: Fluctuating raw material prices affect the overall production cost. Stringent environmental regulations regarding land acquisition and mining activities increase operational challenges.
Opportunity: High government investments in building highways, roads, bridges, affordable housing projects and smart city developments create new revenue streams. Rapid urbanization and industrialization drive the need for bulk construction materials.
Threats: Competition from substitute materials reduces market share. Economic slowdowns and cuts in infrastructure spending impact overall demand.
Key Takeaways
The Global Construction Aggregate Market Size is expected to witness high growth. The global construction aggregate market is estimated to be valued at US$ 470 Bn in 2023 and is expected to exhibit a CAGR of 6% over the forecast period 2023-2031.
Asia Pacific region currently dominates the global consumption due to massive investments in residential and commercial construction in China and India. China alone accounts for over half of the global demand for construction aggregates owing to its ongoing infrastructure projects under Belt and Road initiative.
Key players operating in the construction aggregates market are LafargeHolcim, HeidelbergCement, CEMEX, CRH, Vicat Group, Vulcan Materials, Martin Marietta Materials, Eurocement and ADELAIDE BRIGHTON.
*Note:
1.Source: Coherent Market Insights, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it
Ravina Pandya, Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. With an MBA in E-commerce, she has an expertise in SEO-optimized content that resonates with industry professionals.