DUBLIN--(BUSINESS WIRE)--The "Japan Construction Industry Databook Series - Market Size & Forecast by Value and Volume (area and units), Q2 2024 Update" report has been added to ResearchAndMarkets.com's offering.
Japan's construction industry is poised for significant growth. A CAGR of 4% is projected during 2024-2028, with the Japan's construction output expected to reach JPY 37.93 trillion by 2028, indicating substantial growth potential.
The construction industry in Japan is at a critical juncture, characterized by challenges and opportunities. As the sector navigates labour shortages, rising costs, and the need for sustainable practices, stakeholders must remain proactive in adapting to these changes. By leveraging digital transformation and focusing on innovative solutions, executives can position their organizations for success in this evolving landscape. The emphasis on disaster resilience, infrastructure development, and sustainable construction will be key growth drivers in the coming years, ensuring that the Japanese construction industry remains a cornerstone of the economy.
The construction industry in Japan is a vital component of the nation's economy, contributing significantly to GDP and employment. However, the sector faces challenges such as labour shortages, rising material costs, and the need for sustainable practices.
- Impact of Natural Disasters: The need for disaster resilience heavily influences Japan's construction industry. The government plans to invest approximately JPY 15 trillion (USD 0.12 trillion) in disaster prevention and national resilience over the next five years. This investment is expected to boost demand for construction work, particularly in earthquake-prone areas.
- Labour Shortages and Aging Workforce: The construction sector is grappling with a declining working-age population and an aging workforce, leading to significant labour shortages. This challenge necessitates a focus on attracting younger workers and improving working conditions to ensure the industry's sustainability.
- Digital Transformation and Innovation: The industry is increasingly adopting digital technologies to enhance productivity and efficiency. Companies invest in Building Information Modelling (BIM), automation, and data analytics to streamline operations and reduce costs.
Residential Construction: Adapting to Demand
- Growth in Housing Demand: The residential construction sector is a significant contributor to the overall market, driven by urbanization and rising disposable incomes. The sector accounted for the highest market share in 2023, with a focus on both single-family homes and multi-family housing projects.
- Challenges in Affordability: Despite growth, the residential market faces challenges related to affordability. Rising property prices and construction costs are making it difficult for many potential homeowners to enter the market. The government is exploring policies to support affordable housing development.
Commercial Construction: Evolving Landscape
- Investment in Commercial Spaces: The Government initiatives to revitalize the tourism sector and invest in data centers and logistics facilities are expected to benefit the commercial construction sector.
- Focus on Sustainability: There is a growing emphasis on sustainable practices within commercial construction. Developers increasingly integrate green building standards and energy-efficient designs to meet regulatory requirements and consumer demand.
Institutional Construction: Enhancing Public Services
- Increased Spending on Education and Healthcare: Institutional construction is witnessing growth driven by increased government spending on educational and healthcare facilities. This investment is crucial for improving public services and addressing the needs of a growing population.
- Sustainability Initiatives: Institutional projects also adopt sustainability measures, focusing on energy efficiency and resilience against natural disasters. The government is promoting green building practices to align with national environmental goals.
Industrial Construction: Supporting Economic Growth
- Expansion of Manufacturing Facilities: The industrial construction sector is experiencing growth due to increased demand for manufacturing and logistics facilities. The government's focus on strengthening export-oriented businesses and reducing dependence on foreign supply chains drives this growth.
- Investment in Renewable Energy: Significant investments are being made in the renewable energy sector, particularly in solar and wind projects. The government aims to increase renewable energy capacity to 175 GW by 2035, requiring substantial construction efforts.
Infrastructure Construction: Building for the Future
- Major Infrastructure Investments: Infrastructure construction remains a priority for the Japanese government, with significant investments planned for transportation networks, including the development of the Chuo Shinkansen maglev line and projects related to the Osaka World Expo 2025.
- Focus on Regional Connectivity: The government is emphasizing regional infrastructure development to improve connectivity and support economic growth. This includes investments in rail, road, and urban infrastructure projects.
This market intelligence report offers a comprehensive view of market opportunities in the building and infrastructure construction industry at the country level. With over 100+ KPIs covering growth dynamics in building and infrastructure construction, construction cost structure analysis, and analysis by key cities in Japan, this databook provides a wealth of data-centric analysis with charts and tables, ensuring stakeholders are fully informed.
- Market Dynamics by Value, Volume, and Number of Units: This report provides a comprehensive data-centric view of size and structure, industry dynamics, and end market opportunities in Japan's building and infrastructure construction industry.
- The report provides a detailed analysis of the residential construction market, covering various types of construction, development stages, price points, and key cities. KPIs include value, volume, and number of units, offering a comprehensive view of this sector.
- Commercial Construction Outlook: Provides construction outlook by value and volume across office buildings, retail buildings, hospitality buildings, restaurant buildings, and sports facilities.
- Institutional Construction Outlook: Provides construction outlook by value and volume across manufacturing plant buildings, metal & material processing buildings, and chemical & pharmaceutical buildings.
- Industrial Construction Outlook: Provides construction outlook by value and volume across manufacturing plants and educational buildings.
- Infrastructure Construction Outlook: This report provides growth dynamics and market analysis for three key sections: marine and inland, utility system and transport infrastructure construction.
- City Level Analysis: Provides outlook of the top 10 cities in Japan by construction value.
- The Construction Cost Structure Analysis module in this report provides a detailed outlook on construction costs by construction value, such as material, labor, equipment, and others. At a granular level, it offers a comprehensive material cost analysis by type of materials and labor cost by type of work, ensuring stakeholders deeply understand the cost structure.
Market Data and Insights:
This report provides market size and forecast across 40+ construction segments for ten years from 2019 - 2028 in Japan. KPIs covered include the following:
- Market size by value
- Market size by volume of construction
- Number of units
Japan Economic Indicators
Japan Top Cities Construction Data
Japan Residential Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Housing type
- Key cities
- Price point/income level
- Construction stage
Japan Residential Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Green building by Housing type
- Green building by Key cities
- Green building by Price point/income level
Japan Commercial Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Office
- Retail
- Hospitality
- Restaurant
- Entertainment
- Sports facility
- Other commercial building construction
- Construction stage (new construction, re-development & maintenance)
Japan Commercial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Office green building construction
- Retail green building construction
- Hospitality green building construction
- Restaurant green building construction
- Entertainment green building construction
- Sports facility green building construction
- Other commercial green building construction
Japan Industrial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units)
- Manufacturing Plants building construction
- Chemical & Pharmaceutical building construction
- Metal & Material Processing building construction
- Construction stage
Japan Institutional Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Healthcare construction
- Educational construction
- Other building construction
- Construction stage
Japan Institutional Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Healthcare green building construction
- Educational green building construction
Japan Infrastructure Construction Sectors: 10-year market size & forecast in value terms by
- Marine and inland water infrastructure
- Utility system construction (oil and gas infrastructure, communication infrastructure, power infrastructure, water and sewer infrastructure)
- Transportation infrastructure (highway, street and bridge construction, railway construction, airport construction, and tunnel construction)
- Construction stage (new construction, re-development & maintenance)
Japan Green Infrastructure Construction: 10-year market size & forecast in value terms
Japan Construction Cost Structure Analysis: 10-year market size & forecast in value terms
- Cost Analysis by Type (Material, Labour, Equipment, Others)
- By Material & Work Cost: It provides the cost outlook of material costs by type of materials used in construction (Cement, Steel, Sand, Aggregates, Bricks, Wood, Windows Glazing, Flooring, Plumbing, Electrical, Painting, Other Materials)
- By Labour Cost: It provides the cost outlook of labour costs (RCC Construction Work, Masonry and Plastering Work, Plumbing Work, Water Proofing Work, Carpentry Work, Electrical Work, Tile Fixing Work, CATV Antenna Points, Painting Work, Departmental Labour)
- By Type of Construction (New, Re-Development)
- By Material Cost: It provides the cost outlook of material costs by type of materials used in construction (Concreting Sand, Stone Aggregate, Ordinary Portland Cement, Reinforced Concrete (Grade 30 MPA), Reinforced Concrete (Grade 40 MPA), High Tensile Steel bars, Mild Steel Round Bars, Structural Steelwork, Plywood Formwork (1800*900*12mm), Clay Bricks)
- Type of Labour (Skilled vs. unskilled)
For more information about this report visit https://www.researchandmarkets.com/r/8cl5p8
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