Construction in Mexico - Key Trends and Opportunities to 2024 (July 2020)

Construction in Mexico - Key Trends and Opportunities to 2024 (July 2020)

Summary

Prior to the COVID-19 outbreak, GlobalData was expecting Mexico’s construction industry to grow by 1.1% in 2020. However, with the emergence of pandemic and the government’s slow and initially ineffective response to contain it, together with weakening investment, the construction industry is set to contract by 8% in 2020 - the sharpest contraction in decades. Further downward revisions are likely, if activity in the short term is more severely disrupted than currently anticipated.

According to the National Institute of Statistics and Geography (INEGI), Mexico’s construction sector fell by 8.2% year-on-year in Q1 2020, the sharpest contraction since Q2 2001, going from MXN1.3 trillion (US$67.1 billion) in January-March 2019 to MXN1.2 trillion (US$61.2 billion) in January-March 2020. This compares to a decline of 5.7% in Q4 2019 and -0.2% in Q1 2019. However, the sector is estimated to have contracted at a sharper rate during Q2 2020, as formal construction activities were fully suspended across the country for about eight weeks during April and May 2020 amid government measures to slow the spread of the virus.

The CMIC expects the industry to continue to face difficulties in reviving operations due to its overall weakness. According to Eduardo Ramírez Leal, president of the CMIC, over 3,000 companies have been affected due to the pandemic. He also expects the industry to be weighed by the declining demand in residential and non-residential buildings. About 2,400 construction companies, mostly small and medium-sized, are at risk of permanently closing due to the halt in construction activities, according to CMIC. Enríque Leal said that approximately 80% of the businesses in the construction sector are very small, and have between two to 10 employees and no cash reserves to face the crisis.

While the government of President Andrés Manuel López Obrador is committed to move forward with its infrastructure plans to revive the Mexican economy and to loosen monetary conditions, which should help strengthen private consumption, limited public spending together with security issues and uncertainty over the President’s policies will continue to restrain private investment in the country

This report provides detailed market analysis, information and insights into the Mexican construction industry, including -

  • The Mexican construction industry's growth prospects by market, project type and construction activity
  • Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in the Mexican construction industry
  • Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline
Scope

This report provides a comprehensive analysis of the construction industry in Mexico. It provides -
  • Historical (2015-2019) and forecast (2020-2024) valuations of the construction industry in Mexico, featuring details of key growth drivers.
  • Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
  • Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
  • Listings of major projects, in addition to details of leading contractors and consultants
Reasons to Buy
  • Identify and evaluate market opportunities using GlobalData's standardized valuation and forecasting methodologies.
  • Assess market growth potential at a micro-level with over 600 time-series data forecasts.
  • Understand the latest industry and market trends.
  • Formulate and validate strategy using GlobalData's critical and actionable insight.
  • Assess business risks, including cost, regulatory and competitive pressures.
  • Evaluate competitive risk and success factors.


1. Executive Summary
2 Construction Industry: At-a-glance
3 Context
3.1. Economic Performance
3.2. Political Environment and Policy
3.3. Demographics
3.4. COVID-19 Status
4 Construction Outlook
4.1. All Construction
4.1.1. Outlook
4.1.2. Latest news and developments
4.1.3. Construction Projects Momentum Index
4.2. Commercial Construction
4.2.1. Outlook
4.2.2. Project analytics
4.2.3. Latest news and developments
4.3. Industrial Construction
4.3.1. Outlook
4.3.2. Project analytics
4.3.3. Latest news and developments
4.4. Infrastructure Construction
4.4.1. Outlook
4.4.2. Project analytics
4.4.3. Latest news and developments
4.5. Energy and Utilities Construction
4.5.1. Outlook
4.5.2. Project analytics
4.5.3. Latest news and developments
4.6. Institutional Construction
4.6.1. Outlook
4.6.2. Project analytics
4.6.3. Latest news and developments
4.7. Residential Construction
4.7.1. Outlook
4.7.2. Project analytics
4.7.3. Latest news and developments
5 Key Industry Participants
5.1. Contractors
5.2. Consultants
6 Construction Market Data
7 Appendix
7.1. What is this Report About?
7.2. Definitions
8 About GlobalData
8.1. GlobalData at a Glance
8.2. GlobalData Construction
8.3. Disclaimer
8.4. Contact Us
List of Tables
Table 1: Construction Industry Key Data
Table 2: Mexico, Key Economic Indicators
Table 3: Mexico, Commercial Construction Output by Project Type (real % change), 2015-2024
Table 4: Mexico, Top Commercial Construction Projects by Value
Table 5: Mexico, Industrial Construction Output by Project Type (real % change), 2015-2024
Table 6: Mexico, Top Industrial Construction Projects by Value
Table 7: Mexico, Infrastructure Construction Output by Project Type (real % change), 2015-2024
Table 8: Mexico, Top Infrastructure Construction Projects by Value
Table 9: Mexico, Energy and Utilities Construction Output by Project Type (real % change), 2015-2024
Table 10: Mexico, Top Energy and Utilities Construction Projects by Value
Table 11: Mexico, Institutional Construction Output by Project Type (real % change), 2015-2024
Table 12: Mexico, Top Institutional Construction Projects by Value
Table 13: Mexico, Residential Construction Output by Project Type (real % change), 2015-2024
Table 14: Mexico, Top Residential and Mixed-Use Construction Projects by Value
Table 15: Mexico, Key Contractors
Table 16: Mexico, Key Consultants
Table 17: Mexico, Construction Output Value (Real, US$ Million)
Table 18: Mexico, Construction Output Value (nominal, MXN Million)
Table 19: GlobalData Construction Market Definitions
List of Figures
Figure 1: Jordanian Defense Budget, 2021 and 2025
Figure 2: Jordanian Defense Imports/Exports, 2015 and 2019
Figure 3: Jordan’s Top Prospective Procurements/Developments
Figure 4: Jordanian Defense Expenditure (JOD Billion), 2016-2025
Figure 5: Jordanian Defense Expenditure (US$ Billion), 2016-2025
Figure 6: Defense Expenditure, Excluding US Aid (US$ Billion), 2016-2025
Figure 7: US Military Aid to Jordan (US$ Million), 2016-2025
Figure 8: Jordan - Defense Budget Excluding US Aid vs Defense Budget Including US Aid (US$ Billion), 2016-2025
Figure 9: Jordan - GDP Growth vs Defense Expenditures as a Percentage of GDP, 2016-2025
Figure 10: Jordan - Defense Budget Split Between Capital and Revenue Expenditure (%), 2016-2025
Figure 11: Jordan - Capital Expenditure Allocated vs Total Including US Military Aid (US$ Million), 2016-2025
Figure 12: Jordan - Allocated Defense Capital Budget (Excluding US Aid) (JOD Million), 2016-2025
Figure 13: Jordan - Allocated Defense Capital Budget (Excluding US Aid) (US$ Million), 2016-2025
Figure 14: Jordanian Per Capita Defense Expenditure (US$), 2016-2025
Figure 15: Jordanian Homeland Security Expenditure (JOD Billion), 2016-2025
Figure 16: Jordanian Homeland Security Budget (US$ Billion), 2016-2025
Figure 17: Benchmarking with Key Markets (US$ Billion), 2016-2020vs2021-2025
Figure 18: Benchmarking the World’s Largest Defense Spenders (US$ Billion), 2020 and 2025
Figure 19: Benchmarking theRegion’s Large Defense Spenders as a Percentage of GDP, 2020
Figure 20: Jordan - Defense Imports(US$ Million), 2015-2019
Figure21: Jordan - Defense Imports by Country (%), 2015-2019
Figure 22: Jordan - Defense Imports by Weapon Category (%), 2015-2019
Figure 23: Jordanian Defense Export Trend (US$ Million), 2015-2019
Figure 24: Jordan - Defense Exports by Country (%), 2015-2019
Figure 25: Jordan - Defense Exports by Weapon Category (%), 2015-2019
Figure 26: Jordan’s Budgeting Process
Figure 27: Jordan - RealGDP Growth (%), 2016-2025
Figure 28: Jordan - Nominal GDP Per Capita (US$), 2016-2025
Figure 29: Jordan - Consumer Price Inflation (%), 2016-2025
Figure 30: Jordan - Unemployment Rate, 2016-2025

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