Russia Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2029 (Q1 2025)
Summary
Following an annual growth in real terms of 1.7% in 2024, the Russian construction industry is expected to decline marginally by 0.7% in 2025, due to weakness in the housing sector, coupled with high interest rates and effects of Western sanctions. The increasing western sanctions, coupled with a 32.5% increase in defense spending due to war in Ukraine are expected to weigh on the construction industry in 2025, as defense spending accounts for most of the total national budget. In December 2024, the Ministry of Transport reported that for incurring an interest payment cost of RUB687.5 billion ($6.9 billion), Russia’s state-owned railway company Russia Railways will reduce its spending on the development of the railway infrastructure to RUB890 billion ($8.6 billion) in 2025, a decline of 40% compared to 2024. Also, the rising threat of mass bankruptcies in Russian road companies coupled with cessation of operations of foreign construction companies are expected to weigh on the construction works in 2025. In late-February 2025, the French construction company, Vinci ceased its operations in Russia due to looming hindrances in its business operations.
Despite the ongoing challenges and weakness in the housing sector, GlobalData expects the construction industry to reflect a recovery from 2026 by growing at an annual average growth rate of 2.4% between 2026 and 2029, supported by investments in mining, transport infrastructure, oil and gas projects and renewable energy infrastructure. In January 2025, President Putin announced plans to modernize 75 airports in the country at a total cost of RUB264.8 billion ($2.7 billion) by the end of 2029 as part of the airport infrastructure modernization program to modernize 100 airports by 2030.
GlobalData’s Construction in Russia - Key Trends and Opportunities to 2029 (Q1 2025) report provides detailed market analysis, information and insights into the Russian construction industry, including -
- The Russian 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 Russian construction industry
- Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline.
This report provides a comprehensive analysis of the construction industry in Russia. It provides -
- Historical (2020-2024) and forecast (2025-2029) valuations of the construction industry in Russia, 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
- Identify and evaluate market opportunities using our 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 business strategies 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 Risk Profile
- 4 Construction Outlook
- 4.1 All Construction
- Outlook
- Latest news and developments
- Construction Projects Momentum Index
- 4.2 Commercial Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.3 Industrial Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.4 Infrastructure Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.5 Energy and Utilities Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.6 Institutional Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.7 Residential Construction
- Outlook
- Project analytics
- 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
- 7.3 CRI Methodology
- 8 About GlobalData
- 9 Contact Us
- List of Tables
- Table 1: Construction Industry Key Data
- Table 2: Russia, Key Economic Indicators
- Table 3: Russia, Commercial Construction Output by Project Type (Real % Change), 2020–29
- Table 4: Russia, Top Commercial Construction Projects by Value
- Table 5: Russia, Industrial Construction Output by Project Type (Real % Change), 2020–29
- Table 6: Russia, Top Industrial Construction Projects by Value
- Table 7: Russia, Infrastructure Construction Output by Project Type (Real % Change), 2020–29
- Table 8: Russia, Top Infrastructure Construction Projects by Value
- Table 9: Russia, Energy and Utilities Construction Output by Project Type (Real % Change), 2020–29
- Table 10: Russia, Top Energy and Utilities Construction Projects by Value
- Table 11: Russia, Institutional Construction Output by Project Type (Real % Change), 2020–29
- Table 12: Russia, Top Institutional Construction Projects by Value
- Table 13: Russia, Residential Construction Output by Project Type (Real % Change), 2020–29
- Table 14: Russia, Top Residential Construction Projects by Value
- Table 15: Russia, Key Contractors
- Table 16: Russia, Key Consultants
- Table 17: Russia, Construction Output Value (Real, $ Million)
- Table 18: Russia, Construction Output Value (Nominal, RUB Billion)
- Table 19: GlobalData Construction Market Definitions
- Table 20: Risk Dimensions
- Table 21: Ratings, Scores and Definitions
- List of Figures
- Figure 1: Eastern Europe, Construction Output (Real % Change), 2023–29
- Figure 2: Russia, Construction Output by Sector (Real % Change), 2023–25 and 2026–29
- Figure 3: Russia, Risk Summary
- Figure 4: Russia, Risk Regional Comparison
- Figure 5: Russia, Construction Output Value (Real, $ Million, 2022 Prices and Exchange Rate), 2020–29
- Figure 6: Russia, Construction Output Value, by Sector (Real, $ Million), 2020–29
- Figure 7: Russia, Construction Value Add (RUB Billion, 2021 Constant Prices)
- Figure 8: Russia, Construction Activity Volume Index, Percent of Corresponding Period of Previous Year
- Figure 9: Russia, Monthly Unemployment in Metropolitan Lima (in Thousands)
- Figure 10: Russia, Construction Projects Momentum Index
- Figure 11: Eastern Europe, Construction Projects Momentum Index
- Figure 12: Russia, Commercial Construction Output by Project Type (Real, $ Million), 2020–29
- Figure 13: Russia, Commercial Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 14: Russia, Hotels and food services Value Add (RUB Billion, 2021 Constant Prices)
- Figure 15: Russia, Retail Trade Turnover (RUB Billion)
- Figure 16: Russia, Wholesale and Retail Trade Value Add (RUB Billion, 2021 Constant Prices)
- Figure 17: Russia, Industrial Construction Output by Project Type (Real, $ Million), 2020–29
- Figure 18: Russia, Industrial Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 19: Russia, Manufacturing Value Add (RUB Billion, 2021 Constant Prices)
- Figure 20: Russia, Industrial and Manufacturing Production Index (% Change, YoY)
- Figure 21: Russia, Infrastructure Construction Output by Project Type (Real, $ Million), 2020–29
- Figure 22: Russia, Infrastructure Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 23: Russia, Energy and Utilities Construction Output by Project Type (Real, $ Million), 2020–29
- Figure 24: Russia, Energy and Utilities Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 25: Russia, Institutional Construction Output by Project Type (Real, $ Million), 2020–29
- Figure 26: Russia, Institutional Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 27: Russia, Education Value Add (RUB Billion, 2021 Constant Prices)
- Figure 28: Russia, Health and Social Service Value Add (RUB Billion, 2021 Constant Prices)
- Figure 29: Russia, Residential Construction Output by Project Type (Real, $ Million), 2020–29
- Figure 30: Russia, Residential Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 31: Russia, Real estate Value Add (RUB Billion, 2021 Constant Prices)
- Figure 32: Russia, Residential Buildings Commissioned by Organizations (Million m2)
- Figure 33: Russia, Volume of Extended Mortgage Loans (RUB, Billion)
- Figure 34: Russia, Headquarters of Key Contractors (% of Total Project Pipeline)
- Figure 35: Russia, Headquarters of Key Consultants (% of Total Project Pipeline)
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