Summary

China is the second largest country in the world after the United States in terms of with a GDP of US$7.8 trillion (2008) measured on purchasing power parity. In construction industry, china is the world's second largest construction market after the US and is also the world's fastest growing construction market. The Chinese construction industry grew at a CAGR of 20.63% for the period 2003-2008. A total of US$280.5 billion was spent on residential sector in 2008, which constituted 33% of the Chinese construction market, while US$569.5 billion was spent on non-residential sector which accounted for the balance 67.0%. The construction industry in China has maintained a strong level of development in the recent years indicating a higher growth than its gross national product. The industry's output increased to US$735.8 billion in 2007 and US$850.0 billion in 2008. With the steady development of the national economy, the construction industry is expected to continue its growth momentum in the coming years. The total value of construction in 2008 was US$850.0 billion, which grew at a compound annual growth rate (CAGR) of 20.63% since 2003. Olympic Games held in 2008 in china were a major reason for the growth of the Chinese construction market. China's extra investment in construction will be the most over the next two years, with US$708.0 billion of its US$985.0 billion stimulus package earmarked for infrastructure. This investment of US$354.0 billion per year for two years is equivalent to an extra 40% boost to China's construction industry. China's US$850.0 billion construction industry accounted for nearly 11.0% of the country's GDP in 2008. China's construction industry is working on numerous new residential and commercial buildings, gleaming industrial parks, record-breaking public infrastructure projects, and is expected to soon be home to the world's tallest building. In 2008, commercial floor space amounting to 620 million square meters was sold in the non-residential sector, which was down 19.7% year on year, while that of the commercial residential sector fell 20.3%. Chinese construction market growth declined to 15.5% in 2008 from that of 22.8% in 2007. During 2008, China made a combined investment of $440.8 billion in real estate development, which grew 20.9% year on year. Of the combined investment, the residential real estate investment amounted to US$318.3 billion, which rose 22.6% over the previous year, as Chinese construction industry was not much affected with the global economic slowdown like that of the US, Japan and other countries.

Table of Contents

China Construction Market Analysis
China Construction Competitive Landscape
Leading China Construction Companies
China Construction Market Forecast
Appendix