The publisher expects Mexico’s construction industry to grow by 12.8% in real terms in 2023, supported by major investments in infrastructure and energy projects, owing to pledges by President Andrés Manuel López Obradorto (AMLO) to complete all his projects before leaving the office. According to the National Institute of Statistics and Geography (INEGI), the construction production volume index grew by 13.7% year on year (YoY) during the first nine months of 2023. By segments, it grew by 80.3% for civil engineering construction, 3.3% for building activities, and 2% for specialized construction works, during the same period. Moreover, the construction industry’s value add grew by 24.4% YoY in Q3 2023, preceded by Y-o-Y growth of 13.5% in Q2 and 3.5% in Q1 2023, according to the INEGI. Moreover, according to the Ministry of Finance and Public Credit, the foreign direct investment (FDI) in the country reached MXN662.1 billion ($32.2 billion) in the first nine months of 2023, compared to MXN740.2 billion ($36 billion) in 2022 overall.
The Mexican construction industry, however, is expected to contract by 2.8% in real terms in 2024 and 3% in 2025, owing to high base effects, coupled with the completion of major infrastructure project. Over the remainder of the forecast period, the construction industry is expected to register an annual average growth of 2.9% during 2026-27, supported by public and private sector investment in energy, infrastructure and industrial construction projects. In November 2023, the Mexican government published a decree aimed at enhancing the rail infrastructure in the country. During the same month, the government unveiled a recovery plan worth MXN69.9 billion ($3.4 billion) for the upgrading and reconstruction of the major infrastructure in Acapulco. Under the 2024 Federal Budget Proposal, the government proposed net spending of MXN 9.1 trillion ($441.1 billion), an increase of 4.3% compared to 2023 Budget spending.
The report provides detailed market analysis, information and insights into the Mexican construction industry, including:
- The Mexican construction industry's growth prospects by market, project type and construction activity
- Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in the Mexican construction industry
- Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline.
Scope
This report provides a comprehensive analysis of the construction industry in Mexico. It provides -
- Historical (2018-2022) and forecast (2023-2027) valuations of the construction industry in Mexico, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants
Reasons to Buy
- Identify and evaluate market opportunities using the 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 the critical and actionable insight.
- Assess business risks, including cost, regulatory and competitive pressures.
- Evaluate competitive risk and success factors.
