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Europe Prefabricated Building Market Outlook Report 2021: Market Size was Valued at $24 Billion in 2020 and is Likely to Reach $32 Billion in 2026

Research and Markets
·6-min read

Dublin, April 30, 2021 (GLOBE NEWSWIRE) -- The "Prefabricated Building Market in Europe - Industry Outlook and Forecast 2021-2026" report has been added to ResearchAndMarkets.com's offering.

The Europe prefabricated building market size was valued at USD 24 billion in 2020 and is likely to reach USD 32 billion in 2026, growing at a CAGR of over 4% during the forecast period.

The market is growing as the demand for better quality sustainable homes across the region increases, with the UK and Germany accounting for the largest shares. The use of additive manufacturing in Europe expects to lend tremendous support to the prefabricated construction market.

Companies are using eco-friendly materials and manufacturing techniques to differentiate their offerings from their competitors. The focus on energy efficiency has led to the adoption of energy-absorbing materials such as micro homes. The advent of turnkey solutions is another major factor, which is driving the market growth in the region, especially in Switzerland, Nordic, and the UK. Germany, Nordic, and the UK dominate the Europe prefabricated building market share.

The outbreak of the COVID-19 pandemic has led to severe uncertainty for vendors and contractors in the construction industry across Europe. Several construction companies shut down their projects due to lockdown and restrictions.

However, due to immediate requirements for hospitals and quarantine sectors, the demand for prefabricated materials witnessed an increase. Since a high workforce is required for traditional construction, opting for prefabricated buildings came out as an optimum solution during the pandemic.

PREFABRICATED BUILDING MARKET IN EUROPE: SEGMENTATION

The steel prefabricated buildings market expects to observe an incremental growth of approx. USD 3 billion by 2026. Steel reframes observe high adoption in prefabricated buildings due to lightweight, ductility, and recyclability. These reframes are witnessing high acceptance in the construction sector as they can absorb wind turbulence and offer high elasticity during earthquakes.

However, with the outbreak of the COVID-19 pandemic in Europe, manufacturing activities and steel-using industrial sectors were shutdown, which affected the steel demand. The EU28 steel consumption declined by -25.5% YOY in the second quarter of 2020 after witnessing a drop of -12% in the first quarter due to the onset of the COVID-19 pandemic.

The residential prefabricated building market in Europe accounted for over 44% share in 2020. With the increasing shift toward turnkey housing solutions, the prefabricated housing market expects to pick across Europe. Moreover, the ease of preparation and consent procedures are likely to boost the demand for prefabricated houses. The demand for prefabrication material in the renovation of residential houses is also expected to provide significant opportunities in the future, thereby boosting the market growth during the forecast period.

The prefabricated building market in Europe by cellular systems accounted for over 24% share in 2020. The increasing demand for complete and finished turnkey solutions in Europe is the primary factor responsible for cellular systems' growth. The growing number of prefabricated constructions expects to boost the demand during the forecast period. Cellular systems play a vital role in the development of multidimensional structures. In addition, they are also regularly used for building cells, which provide isolation.

Panel systems constitute an important place in modern construction as they are used in buildings, apartments, houses, public and industrial buildings, roads, airfields, dams, and canals. They have widely been used in large-scale housing and civil construction, increasing their revenue share. The application of panel systems is growing as they reduce construction time compared to traditional materials, including bricks. They are highly cost-efficient as they decrease labor expenditures by 30-40%.

INSIGHTS BY GEOGRAPHY

The prefabricated building market in Germany is expected to account for the highest revenue share by 2026. The housing market in Germany is witnessing drastic changes.

A significant shift has been witnessed with the young population turning cities for educational opportunities and livelihood. Hence, the demand for affordable, target-group-oriented living space is increasing in cities, boosting the demand for modular construction in the country.

Growing investments in the construction sector are likely to boost revenues in Germany. Launching new innovative buildings can offer a competitive edge in the market. The UK, Spain, France, and Italy are the other countries that are likely to emerge as the major contributors to the market.

INSIGHTS BY VENDORS

Vendors are focusing on technological innovations. Several vendors are involved in offering wooden prefabricated structures with complete customization.

High capital requirements and rapid advances in technology are significant entry barriers for new players. The competition has intensified, leading to the introduction of many innovative and advanced solutions in the market, such as turnkey solutions and lightweight ceramic houses.

Therefore, attaining sustainability, expanding into other geographies, and reviving domestic demand are essential factors for vendors. Vendors can boost profitability by practicing efficient production techniques that minimize product costs and mitigate associated risks.

Prominent Vendors

  • Alho Systembau

  • Astron Buildings

  • Berkeley Group

  • Bouygues Batiment International

  • Ceramic Houses

  • DFH Group

  • Fertighaus Weiss

  • ilke Homes

  • Kleusberg

  • Laing O'Rourke

  • Modulaire Group

  • Moelven

  • Segezha Group

  • Skanska Group

  • Vitahus

  • REM

  • Danish Modular System

  • HUF HAUS

Key Topics Covered:

1 Research Methodology

2 Research Objectives

3 Research Process

4 Scope & Coverage
4.1 Market Definition
4.2 Base Year
4.3 Scope of The Study
4.4 Market Segmentation

5 Report Assumptions & Caveats
5.1 Key Caveats
5.2 Currency Conversion
5.3 Market Derivation

6 Market at a Glance

7 Introduction
7.1 Overview
7.2 Residential Constructions
7.3 Non-Residential Constructions
7.4 Traditional Construction Vs Prefabricated Buildings
7.5 Life Cycle Cost
7.6 Capital Cost Analysis
7.7 Supply Chain Analysis
7.8 Profit Margin
7.9 Impact Of COVID-19

8 Value Chain Analysis
8.1 Overview

9 Market Opportunities & Trends
9.1 Growing Demand for Turnkey Solutions
9.2 Space Constraints in Big Cities

10 Market Growth Enablers
10.1 High Profitability
10.2 Increasing Demand For High-End And Customized Buildings

11 Market Restraints
11.1 High Initial Cost
11.2 Difficulties In Integration Along Supply Chain
11.3 Political And Economic Uncertainty

12 Market Landscape
12.1 Market Overview
12.2 PEST Analysis
12.3 Market Size & Forecast 2019-2025 (Estimated Before COVID-19 Outbreak)
12.4 Market Size & Forecast 2020-2026 (Estimated Post COVID-19 Outbreak)
12.5 Ongoing Transition & Potential
12.6 Vertical Integration
12.7 Horizontal Integration
12.8 Five Forces Analysis

13 Material
13.1 Market Snapshot & Growth Engine
13.2 Market Overview
13.3 Steel
13.4 Concrete
13.5 Wood
13.6 Other Materials

14 Application
14.1 Market Snapshot & Growth Engine
14.2 Market Overview

15 Non-Residential Prefabricated Buildings
15.1 Market Snapshot & Growth Engine
15.2 Commercial
15.3 Education
15.4 Government
15.5 Hospitality
15.6 Other Sectors

16 Residential Prefabricated Buildings
16.1 Market Overview

17 System
17.1 Market Snapshot & Growth Engine
17.2 Market Overview
17.3 Cellular System
17.4 Panel System
17.5 Skeleton System
17.6 Combined System
17.7 Other Systems

18 Distribution Channel
18.1 Market Overview

19 Key Countries
19.1 Market Snapshot & Growth Engine
19.2 UK
19.3 Germany
19.4 France
19.5 Italy
19.6 Spain
19.7 Nordic
19.8 Russia
19.9 Switzerland
19.10 Austria
19.11 Poland
19.12 Belgium

For more information about this report visit https://www.researchandmarkets.com/r/d86u0j

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