Demand for Road and Highway Construction industry services remained stable prior to the five years to 2016, as governments on all levels rolled out countercyclical stimulus spending programs that included additional funding for infrastructure, such as highways and roads. Moreover, private sector demand also increased as low interest rates and government incentives encouraged consumers to buy new homes, boosting residential construction and related industry-specific projects. Furthermore, Canada's boom in oil production led to a rise in the construction of private roads connecting oil extraction operations. Over the five years to 2021, as the economy returns to growth and oil prices rebound, government tax incomes will rise. Consequently, governments on all levels will have more resources to fund industry projects, including funding through the New Building Canada Plan.
This industry constructs new highways, streets, roads and airport runways (excluding elevated roadways). The industry also includes highway and street construction management operators and special-trade contractors who perform subcontract work on projects (e.g. grading, laying pavement, installing guardrails and installing public sidewalks). Establishments may subcontract some or all of the actual construction work.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.