The modular construction industry continues to grow at a rapid rate, with the global market expected to generate around US$175.15 billion by 2025, at a compound annual growth rate of around 6.7% between 2019 and 2025. The figures were published in a new report from Zion Market Research, who last valued the industry at approximately US$111.24 billion back in 2018.
A key factor in this prospective growth is the expansion of the modular construction industry in the Asia Pacific region which, of course, includes Australia – where Modscape is a leader in the space. The growth can be attributed to the rapidly increasing construction activities across the region, fuelled by rapid industrialisation and swift urbanisation.
‘The various benefits of the modular buildings as compared to traditional buildings are expected to positively impact market growth,’ states the report. ‘For instance, the modular buildings generate less heat and temperature, which contribute less to global warming. Additionally, modular constructions are less time-consuming. Government initiatives and regulations toward sustainability and green environment will also boost this market’s growth in the upcoming years.’
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The push for a more sustainable construction industry overall is a huge factor in the growth of modular. In Australia, it is estimated that the construction and demolition industry contributes around 40% of overall landfill, in the form of demolished materials, off-cuts, land excavation and packaging.
At Modscape, we’re looking to lead the industry towards a cleaner future, championing modern methodologies – such as design for manufacture and assembly (DfMA) and modular – to create buildings that reduce our impact on the Earth. Various studies conclude that modular prefabrication is the most sustainable way to build, and you can read about them here.
To read the full report from Zion Market Research, head here.