EPC (Engineering, Procurement, and Construction) Market Outlook - Forecast Trends, Market Size, Share and Growth Analysis Report (2025-2034)

The global EPC (engineering, procurement, and construction) market size was valued at USD 837.78 Billion in 2024 . The industry is expected to grow at a CAGR of 3.20% during the forecast period of 2025-2034 to reach a valuation of USD 1.14 trillion by 2034 .

The global EPC (engineering, procurement, and construction) market plays a central role in delivering large-scale infrastructure and industrial projects across sectors like energy, utilities, transportation, and manufacturing. Its integrated project delivery model - which combines design, material procurement, and construction under a single contract - makes it a preferred choice for complex projects where cost control, schedule certainty, and accountability are critical.

The market is closely aligned with broader economic and industrial trends, particularly in emerging economies where urban expansion and industrialisation are accelerating infrastructure development. In India, for instance, the government has identified significant investment opportunities in various regions, such as Uttar Pradesh, where approximately ₹50,000 crore is expected to be invested. This includes the development of industrial corridors and urban infrastructure projects in cities like Aligarh, Agra, Jhansi, Chitrakut, Kanpur, and Lucknow.

Government-led investments in transport networks, renewable energy, and public utilities are a key growth catalyst, especially in regions like Asia-Pacific, the Middle East, and North Africa. For example, in February 2023, the U.S. Infrastructure Investment and Jobs Act allocated USD 1.2 trillion toward rebuilding roads, bridges, and energy grids, boosting EPC opportunities. Rising energy projects, including renewable energy installations, are also pushing EPC firms to innovate and expand capabilities. Additionally, global trends toward industrial automation and smart infrastructure require specialised EPC services that can handle complex engineering challenges and regulatory compliance.

Chemical production trends in 2023 and 2024 had a notable impact on the Engineering, Procurement, and Construction (EPC) market, given their close linkage. BASF SE reported a global chemical production increase of just 0.3% in 2023, indicating a slow recovery. By 2024, growth picked up to 2.7%, with China - the largest chemical producer - posting a 4.0% rise. The American Chemistry Council (ACC) echoed similar figures, noting global growth of 0.3% in 2023 and a stronger 3.4% gain in 2024. This rebound in chemical output helped drive activity and demand across EPC operations during the same period.

Key Trends and Recent Developments

November 2024

Bulgaria's national nuclear power plant constructor and South Korea's Hyundai Engineering & Construction Co. signed an EPC contract for a nuclear power station. Hyundai E&C disclosed that Kozloduy NPP-New Builds Plc (KNPP NB) had signed an EPC contract for the building of two nuclear reactors at the Kozloduy nuclear complex. These reactors have a total construction cost of D 14.5 billion.

April 2024

The CSCEC concluded the development of 7,000 social housing units in the Maldives, marking the largest affordable housing project undertaken in the country and addressing the longstanding demand for economical housing. The project is located in the Hulhumalé Phase II, covering a total construction area of 468,000 square meters with a total building height of 74.95 meters.

April 2024

Samsung E&A secured a significant USD 6 billion Aramco Fadhili Gas Project to boost the Fadhili Gas Plant's capacity in Saudi Arabia, increasing daily gas processing from 2.5 billion to 3.8 billion cubic feet. The Fadhili Gas Increment Program objective is to expand the capacity of the existing Fadhili Gas Plant located 350km northeast of Riyadh, the capital of Saudi Arabia.

February 2023

L&T Heavy Engineering became the first Indian company to attain ISO 19443:2018 Certification, highlighting its commitment to quality and safety in the nuclear supply chain and bolstering its position in both global and national nuclear reactor manufacturing.

Modular Construction

Adopting modular construction techniques, including prefabrication and off-site manufacturing, accelerates project delivery and reduces construction timelines. Modularisation enhances quality control, safety, and cost-effectiveness in EPC projects. By shifting components of construction off-site to controlled factory environments, companies are able to standardise processes, improve quality control, and minimise on-site risks. This shift also leads to better safety outcomes, as fewer workers are exposed to hazards in complex construction zones.

Remote Monitoring and Control

Advancements in remote monitoring and control technologies enable real-time monitoring of project progress, equipment performance, and safety conditions, enhancing project visibility, decision-making, and risk management, impacting the EPC (engineering, procurement, and construction) market. A notable development in this domain is the USD 920 million EPC contract awarded by ADNOC Onshore to Jereh Oil & Gas Engineering for the expansion of its AI-powered well digitalisation program, in November 2024. This initiative aims to enable remote monitoring and control of over 2,000 wells, incorporating advanced remote sensing and well-operating equipment across multiple onshore fields.

Lean Construction Practices

Implementing lean construction principles, like just-in-time delivery, waste minimisation, and ongoing enhancement, enhances project workflows and resource allocation, leading to heightened productivity and improved cost-effectiveness. These practices lead to enhanced resource allocation, reduced project timelines, and improved cost-effectiveness. For instance, the integration of Building Information Modeling (BIM), Artificial Intelligence (AI), and Internet of Things (IoT) technologies is streamlining project planning, design, and execution, resulting in improved efficiency and cost savings. Such practices will eventually aid the EPC (engineering, procurement, and construction) market expansion.

Resilience and Risk Management

Heightened focus on resilience and risk management is prompting companies in the EPC (engineering, procurement, and construction) market to incorporate measures for disaster preparedness, business continuity planning, and supply chain resilience into project design and execution. The rise of climate-related disasters has prompted the inclusion of more robust structural designs and adaptive construction methods. Recent infrastructure projects reflect this trend, integrating contingency planning and flexible timelines to respond quickly to disruptions. These measures improve project reliability and stakeholder confidence, highlighting how risk management is reshaping the EPC landscape today.

Integration of BIM and IoT

The demand of the EPC (engineering, procurement, and construction) market is being driven by the integration of digital technologies such as Building Information Modeling (BIM), Internet of Things (IoT), and Artificial Intelligence (AI) in optimising project planning, design, and execution, leading to improved efficiency, cost savings, and project delivery timelines. The digital thread facilitates predictive analytics, allowing project managers to proactively foresee potential. According to a report by McKinsey, digital transformation in EPC can lead to cost reductions of up to 15% and time savings of 20% to 30%.

EPC (Engineering, Procurement, and Construction) Industry Segmentation

“Global EPC (Engineering, Procurement, and Construction) Market Report and Forecast 2025-2034” offers a detailed analysis of the market based on the following segments:

Market Breakup by Type

• Engineering
• Procurement
• Construction

Key Insight: Engineering professionals assess and mitigate risks throughout the project lifecycle, identifying potential hazards, developing contingency plans, and implementing risk mitigation strategies. Engineers are critical in designing and planning EPC projects to maximise efficiency and optimise resource utilisation. They conduct detailed risk assessments to identify technical, financial, and operational hazards early on. This allows the development of contingency plans that address supply chain disruptions, design flaws, or regulatory changes. Their work helps avoid costly delays and ensures projects meet safety and quality standards.

Market Breakup by Application

• Chemicals
• Power
• Oil and Gas
• Manufacturing
• IT and Telecom
• Roads, Railways, and Bridges
• Airports and Ports
• Building Construction
• Others

Key Insight: The growing demand for residential, commercial, and industrial infrastructure worldwide fuels the need for EPC services in building and construction sector. Governments and private sector entities invest in construction projects such as highways, bridges, airports, and urban development, driving the demand for EPC services, aiding the EPC (engineering, procurement, and construction) market. In May 2025, In the United States, Blackstone Infrastructure announced an USD 11.5 billion acquisition of TXNM Energy, a utility company serving over 800,000 customers in New Mexico and Texas. This acquisition reflects the growing demand for energy infrastructure and the strategic importance of regulated utility assets in the EPC sector.

Market Breakup by Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa

Key Insight: Europe is the powerhouse behind the global EPC (engineering, procurement, and construction) market growth. This is due to their booming economies with rapid urbanisation and industrialisation, requiring extensive infrastructure development. For example, the European Union’s push for climate neutrality by 2050 has accelerated funding for wind and solar projects, directly benefiting EPC companies specialising in these areas.

EPC (Engineering, Procurement, And Construction) Market Share

Procurement Segment to Gain Traction by Tailoring EPC Solutions to Meet Each Project's Unique Needs

As per the EPC (engineering, procurement, and construction) market report, effective procurement strategies optimise the supply chain by sourcing materials, equipment, and services from reliable suppliers at competitive prices. This ensures timely delivery of quality resources, minimises project delays and enhances overall project efficiency, pushing the demand of the EPC (engineering, procurement, and construction) industry. Recent shifts toward digital procurement tools and supplier relationship management are further enhancing efficiency, allowing EPC firms to respond quickly to market changes and regulatory demands.

Meanwhile, the construction segment is experiencing robust activity, especially with governments prioritising infrastructure development such as highways, railways, and renewable energy facilities. Many projects delayed during the pandemic are now moving into execution phases, fueling demand for EPC services. As per industry reports, in the offshore oil and gas sector, EPC contract awards are anticipated to total USD 54 billion in 2025, marking a 1% increase year-over-year.

Oil and Gas Sector Contributes to the Market Share Through Investments

Oil and gas companies invest in exploration and production projects to find new reserves and extract hydrocarbons. EPC firms help by designing, engineering, procuring, and constructing infrastructure like drilling rigs, production platforms, pipelines, and processing facilities needed for these activities. In May 2025, after a four-year pause over security concerns, TotalEnergies has stated that it intends to resume operations on its LNG project in Mozambique by the middle of 2025. The company and its partners in the massive Mozambique LNG project intend to resume development on the 12.8 mtpa (million tonnes per year) project.

The power sector, including renewable energy installations, is rapidly expanding with global shifts towards cleaner energy. As per the EPC (engineering, procurement, and construction) market analysis, in May 2025, leading decarbonisation solutions provider ReNew Energy Global Plc (ReNew) said it will invest over INR 22,000 crore (D 2.5 billion) to establish one of India's biggest hybrid renewable energy projects in the Anantapur district of Andhra Pradesh. This would be one of the biggest RE complexes in one place in India, with a 2.8 GW generation capacity that includes 1.8 GWp solar and 1 GW wind, as well as a 2 GWh battery energy storage system (BESS). These developments underscore the dynamic nature of the EPC market, with significant investments and strategic projects shaping the future of both traditional and renewable energy sectors.

EPC (Engineering, Procurement, and Construction) Market Regional Analysis

Asia Pacific to Lead the Market, Powered by Massive Infrastructure Investments

Regionally, Asia Pacific occupies a large share in the EPC (engineering, procurement, and construction) market, powered by massive infrastructure investments in China, India, and Southeast Asia. China’s continued focus on mega projects, including high-speed rail and renewable energy plants, fuels demand. In October 2024, China launched a new renewable energy plan aiming to boost annual renewable consumption to 1 billion tons of standard coal equivalent by 2025 and 5 billion tons by 2030, focusing on infrastructure upgrades and green industry electrification.

North America follows with strong growth in power and industrial EPC projects, supported by technological advancements and energy sector investments. The U.S. has seen a surge in EPC activity, especially in power generation, where the Inflation Reduction Act has fueled renewable energy projects worth billions. Additionally, Canada is investing in upgrading its ageing infrastructure and clean energy projects, further boosting the EPC sector.

Competitive Landscape

Key players in the global EPC (engineering, procurement, and construction) market are investing heavily in digital technologies to enhance project management, improve efficiency, and reduce costs. They are expanding their service offerings to include sustainable and green construction solutions, aligning with global environmental goals. Strategic partnerships and joint ventures help these companies access new markets and share expertise, especially in complex infrastructure and energy projects.

These firms are also focusing on risk management and supply chain resilience to navigate geopolitical and economic uncertainties. Emphasising innovation, they adopt automation, modular construction, and advanced analytics to accelerate project delivery and improve quality, maintaining competitiveness in a rapidly evolving market.

Fluor Corporation

Fluor Corporation, headquartered in Texas, United States, is a global EPC firm specialising in engineering, procurement, construction, and maintenance services. It serves industries such as energy, infrastructure, and government. Fluor is known for managing complex projects worldwide, combining technical expertise with innovation to deliver efficient, safe, and sustainable solutions.

Larsen & Toubro Limited

Larsen & Toubro Limited, based in Mumbai, India, is a leading multinational EPC company with diverse operations in construction, engineering, and manufacturing. It serves sectors including infrastructure, power, and heavy engineering. Renowned for large-scale projects, L&T integrates technology and sustainable practices to drive growth in India and international markets.

Saipem SpA

Saipem SpA is an Italian EPC company headquartered in San Donato Milanese, Italy. It specialises in engineering and construction services for the oil, gas, and energy industries worldwide. Saipem focuses on offshore and onshore projects, emphasising innovation, safety, and environmental responsibility to meet evolving industry demands.

Mitsubishi Heavy Industries, Ltd.

Mitsubishi Heavy Industries, Ltd., headquartered in Tokyo, Japan, is a diversified EPC and engineering company. It operates in sectors such as energy, aerospace, and transportation. Known for technological innovation, MHI delivers complex infrastructure and industrial projects globally, with a strong focus on sustainability and advanced engineering solutions.

Other global EPC (engineering, procurement, and construction) market key players are John Wood Group plc, McDermott International Ltd., Bechtel Corporation, DEPCOM Power, Inc., Petrofac Limited, Blue Ridge Power, Blattner Energy Inc., Quanta Services, Inc., The Shaw Group Inc., Sentry Electrical Group, Inc., and Sinopec Engineering (Group) Co., Ltd., among others.

Key Features of the Report

• In-depth quantitative analysis of the global EPC (engineering, procurement, and construction) market size and growth.
• Detailed study of market drivers, challenges, and emerging opportunities.
• Regional segmentation highlighting key markets and investment hotspots.
• Competitive profiling of major EPC companies and their strategies.
• Examination of technological trends transforming project execution.
• Forecasts and market trends through 2025 for strategic planning.

Why Choose This Report?

• Reliable and data-backed insights for accurate market understanding.
• Actionable intelligence tailored to industry and investment decisions.
• Expert analysts with deep knowledge of global EPC trends.
• Timely updates reflecting the latest market developments and forecasts.

Call to Action

Stay ahead with the latest EPC (engineering, procurement, and construction) market trends 2025. Download your free sample or contact us now for detailed insights and strategic guidance to capitalize on emerging opportunities in the global EPC sector.