Following an annual contraction of 1% in 2023, the construction industry in France is expected to decline further in real terms by 2.5% in 2024, owing to high construction material prices and interest rates, weak investor and consumer confidence, along with declining residential building permits issued. According to the National Institute of Statistics and Economic Studies (INSEE), the total number of dwelling units authorized in the country fell by 26.7% year on year (YoY) in 2023, preceded by an annual marginal growth of 0.3% in 2022.
Over the remainder of the forecast period, the construction industry's output is expected to recover, and record an average annual growth rate of 2.2% between 2025 and 2028, supported by the European Commission (EC) state aid into green industrial projects and renewable energy infrastructure. In January 2024, the EC approved EUR2.9 billion ($3 billion) in funding to support development of green industries, with an aim to foster the transition towards a net-zero economy. Under this plan, the country aims to provide tax credit for companies planning to invest in the production of solar panels, batteries, wind turbines, heat pumps, and other key components involved in production of equipment and energy production. In December 2023, EC approved funding of EUR4.12 billion ($4.2 billion) for the construction of two floating offshore wind farms in the Golfe du Lion. Growth over the forecast period will also be supported by “Investing in France in Decarbonization Infrastructure” plan announced in October 2023, under which the country aims to reduce carbon emissions by 55% by 2030 from 1990 levels.
Over the remainder of the forecast period, the construction industry's output is expected to recover, and record an average annual growth rate of 2.2% between 2025 and 2028, supported by the European Commission (EC) state aid into green industrial projects and renewable energy infrastructure. In January 2024, the EC approved EUR2.9 billion ($3 billion) in funding to support development of green industries, with an aim to foster the transition towards a net-zero economy. Under this plan, the country aims to provide tax credit for companies planning to invest in the production of solar panels, batteries, wind turbines, heat pumps, and other key components involved in production of equipment and energy production. In December 2023, EC approved funding of EUR4.12 billion ($4.2 billion) for the construction of two floating offshore wind farms in the Golfe du Lion. Growth over the forecast period will also be supported by “Investing in France in Decarbonization Infrastructure” plan announced in October 2023, under which the country aims to reduce carbon emissions by 55% by 2030 from 1990 levels.
The Construction in France - Key Trends and Opportunities to 2028 (Q1 2024) report provides detailed market analysis, information and insights into the French construction industry, including -
- The French 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 French 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 France. It provides -
- Historical (2019-2023) and forecast (2024-2028) valuations of the construction industry in France, 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.
Table of Contents
1 Executive Summary2 Construction Industry: At-a-Glance6 Construction Market Data
3 Context
4 Construction Outlook
5 Key Industry Participants
7 Appendix
List of Tables
List of Figures
