Pre-engineered Buildings Market Size

Pre-engineered Buildings Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

Pre-engineered buildings (PEB) are undergoing a steady increase in market share, with the market size estimated to reach $ 12,071 billion in 2022, and to reach $ 30,019 billion by 2030. This represents a CAGR of 13.9% from 2024 to 2030. This reflects the high demand for PEB solutions from various industries. The need for cost-effective, sustainable and fast construction is a major driving force for this growth. The construction industry, governments and companies are striving to optimize their construction processes and reduce the time to market for their building projects. There are several reasons for the rise in the market share of PEBs. The development of new materials and building methods, such as the use of high-strength steel and the use of a system of prefabricated components, has improved the efficiency and quality of PEBs. Also, the growing importance of green building and energy-saving solutions has driven the demand for PEBs. BlueScope Steel, Nucor and Tata Steel are some of the major players in the industry, and they are taking advantage of this trend by entering into strategic alliances, investing in research and development, and launching new products. These efforts not only strengthen their position in the market but also contribute to the evolution of the industry.

Regional Market Size

Regional Deep Dive

Pre-engineered Buildings Market is expected to grow significantly across regions, owing to the increasing demand for cost-effective and time-efficient construction solutions. North America is characterized by a strong emphasis on energy efficiency and sustainable building practices, while Europe is characterized by a growing demand for innovative designs and materials. Asia-Pacific is expected to be characterized by a growing trend toward urbanization and industrialization, while the Middle East and Africa are expected to be characterized by a growing emphasis on the development of public and private infrastructure and government initiatives. Latin America, although an emerging region, is slowly adopting pre-engineered building solutions to meet the growing demand for commercial and industrial spaces.

North America

• The American Green Building Council has established new criteria for sustainable construction, which are influencing the use of prefabricated buildings which meet the requirements of LEED certification.
• Leading the market in the United States are such companies as Butler Manufacturing and Nucor Building Systems, which are constantly improving the design and production of these buildings.
• A new tendency is to build in sections, and the manufacture of materials is carried on outside the building.

Europe

• Germany and Sweden are mainly responsible for the energy-saving construction industry.
• Lindab and Kingspan are the leading companies in this field. They are leading the way with innovations in materials such as lightweight steel and the use of environmentally friendly insulation.
• In the course of time, the pre-fabricated building has gained ground in Europe, especially in the towns where space is limited.

Asia-Pacific

• The especial growth of cities in China and India, the great work of the Delhi-Mumbai Industrial Corridor, has thrown into prominence the prefabricated building, and has given it a position of great importance.
• Several government initiatives, such as the Make in India campaign, have been promoting the local production of pre-fabricated structures, thereby facilitating the growth of the market.
• The emergence of smart cities in the region is expected to increase investment in prefabricated building systems, which will integrate IoT and automation.

MEA

• The United Arab Emirates’ Vision 2021 programme is promoting the use of new construction methods and prefabricated buildings to keep pace with the country’s rapid development.
• In large projects, Al Futtaim Engineering and Construction is a pioneer in using prefabricated materials, which have been developed for a wide range of projects and have reduced the time of construction.
• The special climatic conditions of the region are conducive to the development of special, prefabricated buildings, which are designed to withstand the extremes of temperature and sandstorms.

Latin America

• Brazil’s industrial sector is growing and requiring more and more efficient manufacturing premises. One company that has been a pioneer in this field is Metalfrio Solution.
• Governmental programmes for the improvement of the housing stock are encouraging the use of prefabricated solutions, especially in rural and isolated areas.
• In this part of the world, sustainable development has led to a great development in the prefabricated building industry, which is based on the use of locally available materials.

Did You Know?

“Prefabricated buildings can be erected as much as 50 percent faster than conventional buildings, reducing labor costs and the time it takes to complete the building.” — National Institute of Building Sciences

Segmental Market Size

Prefabricated buildings play an important role in the construction industry and are currently experiencing a steady growth, thanks to their cost-effectiveness and speed. The increased demand for rapid construction solutions in the manufacturing and logistics industries, as well as the growing focus on sustainable building, are among the main reasons for this growth. Moreover, the increased energy efficiency of buildings, which is required by law, is a further factor in this success.

The use of steel frame construction is already well developed, and Tata BlueScope Steel in India and Nucor Building in the United States are leading the way. The most important applications are for industrial, commercial and agricultural buildings, where speed and flexibility are essential. These applications are growing fast, especially as a result of the drive towards green building certification and the development of the prefabricated construction system. Building Information Modelling and prefabrication are influencing the development of panelised engineering, improving the accuracy of the design and speeding up construction.

Future Outlook

The market for prefabricated buildings is expected to increase from around $11.07 billion in 2022 to $30.023 billion by 2030, at a CAGR of 13.9 percent. This is a result of the increasing demand for cost-effective and time-saving building solutions in various sectors, such as commercial, industrial, and residential. As companies and governments try to optimize their building processes, prefabricated buildings are becoming a preferred choice because of their quick assembly and lower labor costs.

IT AND OTHER IMPORTANT ADVANCES, SUCH AS THE INTEGRATION OF BIM AND SUSTAINABLE MATERIALS, ARE TO BE EXPECTED TO ADD TO THE IMPORTANCE OF PRE-ENGINEERED BUILDINGS THEY ARE ALREADY SOUND AND STEADY AND WILL CONTINUE TO BE SO. THEY ARE IMPORTANT TO PERMIT AN IMPROVEMENT IN CERTAIN ASPECTS OF THE PROCESS OF BUILDING AND ARE IMPORTANT TO IMPROVE CERTAIN ELEMENTS OF THE PROCESS. In the future, they will be able to account for more than 25 percent of new construction in certain countries. As the industry develops, new trends such as the personalization of the building and the smart building will play a crucial role in the future of the prefabricated buildings market.