Highway, Street & Bridge Construction Contractors

First Research, Inc.
November 17, 2014
10 Pages - SKU: FRRS5388724
Countries covered: United States

Highway, Street & Bridge Construction Contractors

Brief Excerpt from Industry Overview Chapter:

Companies in this industry construct highways, streets, roads, airport runways, sidewalks, and bridges. Major companies include Bechtel, Kiewit, Granite Construction, and URS (all based in the US), as well as Bouygues, Colas, and VINCI (all based in France); Impregilo (Italy); and China Communications Construction Company.

China, India, and Brazil are among the countries with the largest roadway systems outside the US. As economies grow in these countries, highway systems and related infrastructure also will expand. China, for example, plans to spend $767 billion on roads between 2013 and 2030.

The US highway and street construction industry includes about 10,000 firms with combined annual revenue of about $92 billion. Key challenges include volatile raw materials costs and pressure on government agencies to cut budgets, including spending on infrastructure projects.

COMPETITIVE LANDSCAPE

Demand is largely driven by the availability of government road building funds, population growth, and the need to replace or repair aging infrastructure. The profitability of individual companies depends on operating efficiencies and the ability to correctly estimate costs. Big companies have the resources and engineering skills necessary for large construction jobs. Small companies can compete effectively by bidding for smaller projects or by working as subcontractors on large projects. The US industry is highly fragmented.

PRODUCTS, OPERATIONS & TECHNOLOGY

New street and highway construction can involve complicated engineering, and skilled operations like earthmoving, grading, and bridge, curb, sidewalk, and water drainage system construction. The US has the most expansive road...



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