Modular Construction Market Size, Share, Opportunities, And Trends By Type (Permanent, Relocatable), By Material (Steel, Precast Concrete, Wood, Plastic, Others), By End-User (Residential, Commercial, Industrial), And By Geography – Forecasts From 2025 To 2030
- Published : Mar 2025
- Report Code : KSI061612921
- Pages : 142
Modular Construction Market Size:
The modular construction market is estimated to grow at a CAGR of 4.78% to attain US$131.182 billion in 2030 from US$103.864 billion in 2025.
Modular construction is a term used to describe the use of factory-produced pre-engineered building units that are delivered to the site and assembled as the elements of a building. Modular units are used for the construction of full or partial rooms or separate units such as lifts, toilets, etc. Modular construction is a less time-consuming process than the traditional construction process. It has several advantages over conventional construction, such as high flexibility, less pollution, improved air quality, less material waste, safe construction, advanced design opportunities, better-engineered buildings, etc. Growing construction activities in countries like China and India are expected to drive the market’s expansion. Furthermore, the cost-effectiveness of modular construction with fewer defects and reworks is expected to increase its demand and boost the overall market growth during the forecast period.
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Modular Construction Market Overview & Scope:
The modular construction market is segmented by:
- Type: By type, the modular construction market is categorized into permanent and relocatable. The relocatable category in the type segment is estimated to grow substantially.
- Material: By material, the market is divided into steel, precast concrete, wood, plastic, and others. The precast concrete category is forecasted to grow rapidly.
- End User: By end user, the market is divided into residential, commercial, and industrial. The increasing demand for sustainable construction in the commercial sector is among the key factors pushing this segment’s growth.
- Region: The North American region is estimated to attain a greater share of the global modular construction market due to the increasing technological advancements in the construction sector. Similarly, increasing investment in the infrastructural sector is also estimated to increase the demand for modular construction solutions in this region.
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Top Trends Shaping the Modular Construction Market
1. Growing demand for eco-friendly construction solution
- The increasing global demand for sustainability and eco-friendliness in the construction sector is estimated to propel the modular construction market growth during the estimated period.
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Modular Construction Market Growth Drivers vs. Challenges:
Opportunities:
- Rising construction activities: The use of modular construction in the commercial segment is increasing due to its benefits, such as reduced maintenance or replacement costs over the life of the building, energy-efficient structure, and improved occupant productivity. Commercial buildings are constructed using modular construction according to the rules provided by the International Building Code (IBC) and state regulations. The materials used in this construction are highly durable, cost-effective, and recyclable, contributing to their growing popularity in commercial building projects. Developers worldwide are investing billions of dollars in non-residential building projects.
- Growing demand for affordable housing: The increasing global demand for affordable housing is among the major factors propelling this market growth. The demand for affordable housing, especially in developing economies like India, Malaysia, and Bangladesh, witnessed significant growth.
Challenges:
- Higher initial cost: The higher initial cost of the modular construction solution is among the major factors restricting the market’s growth during the estimated timeline.
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Modular Construction Market Regional Analysis:
- Asia Pacific: The Asia Pacific region is estimated to grow considerably during the forecasted period. The major factors pushing the regional market growth are the growing governmental initiatives and policies in countries like India, China, and Vietnam, which are aimed at increasing the accessibility of affordable housing to individuals. Similarly, the growing urbanization is also among the key factors pushing the demand for modular construction in the region.
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Modular Construction Market Competitive Landscape:
The market is fragmented, with many notable players, including Laing O’Rourke, Red Sea Housing, ATCO, Bouygues Construction, VINCI, Skanska AB, Algeco Scotsman, Lendlease Corporation, KLEUSBERG GmbH & Co. KG, Comfort Systems USA, Clayton Homes, Guerdon Modular Buildings, Modular Building Systems, and Bouygues Construction, among others.
- Solution Launch: In January 2025, DuBox, a leading modular construction solution provider, launched the Productization. The company stated that the Productization solution will revolutionize the global modular construction sector.
- Project Launch: In January 2025, TenneT, a leading grid operator based in Europe, launched 'Modular Building Large Projects', which is aimed at accelerating the electrical grid expansion in the region.
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Modular Construction Market Scope:
| Report Metric | Details |
| Modular Construction Market Size in 2025 | US$103.864 billion |
| Modular Construction Market Size in 2030 | US$131.182 billion |
| Growth Rate | CAGR of 4.78% |
| Study Period | 2020 to 2030 |
| Historical Data | 2020 to 2023 |
| Base Year | 2024 |
| Forecast Period | 2025 – 2030 |
| Forecast Unit (Value) | USD Billion |
| Segmentation |
|
| Geographical Segmentation | North America, South America, Europe, Middle East and Africa, Asia Pacific |
| List of Major Companies in the Modular Construction Market |
|
| Customization Scope | Free report customization with purchase |
Modular Construction Market Segmentation:
By Type
- Permanent
- Relocatable
By Material
- Steel
- Precast Concrete
- Wood
- Plastic
- Others
By End-User
- Residential
- Commercial
- Industrial
By Region
- North America
- Europe
- Asia Pacific
- South America
- Middle East & Africa
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Frequently Asked Questions (FAQs)
The modular construction market is expected to reach a total market size of US$131.182 billion by 2030.
Modular Construction Market is valued at US$103.864 billion in 2025.
The modular construction market is expected to grow at a CAGR of 4.78% during the forecast period.
Key factors driving modular construction market growth include cost efficiency, faster project timelines, and rising urbanization demand.
The North American region is anticipated to hold a significant share of the modular construction market.
1. EXECUTIVE SUMMARY
2. MARKET SNAPSHOT
2.1. Market Overview
2.2. Market Definition
2.3. Scope of the Study
2.4. Market Segmentation
3. BUSINESS LANDSCAPE
3.1. Market Drivers
3.2. Market Restraints
3.3. Market Opportunities
3.4. Porter’s Five Forces Analysis
3.5. Industry Value Chain Analysis
3.6. Policies and Regulations
3.7. Strategic Recommendations
4. TECHNOLOGICAL OUTLOOK
5. MODULAR CONSTRUCTION MARKET BY TYPE
5.1. Introduction
5.2. Permanent
5.3. Relocatable
6. MODULAR CONSTRUCTION MARKET BY MATERIAL
6.1. Introduction
6.2. Steel
6.3. Precast Concrete
6.4. Wood
6.5. Plastic
6.6. Others
7. MODULAR CONSTRUCTION MARKET BY END USER
7.1. Introduction
7.2. Residential
7.3. Commercial
7.4. Industrial
8. MODULAR CONSTRUCTION MARKET BY GEOGRAPHY
8.1. Introduction
8.2. North America
8.2.1. By Type
8.2.2. By Material
8.2.3. By End User
8.2.4. By Country
8.2.4.1. USA
8.2.4.2. Canada
8.2.4.3. Mexico
8.3. South America
8.3.1. By Type
8.3.2. By Material
8.3.3. By End User
8.3.4. By Country
8.3.4.1. Brazil
8.3.4.2. Argentina
8.3.4.3. Others
8.4. Europe
8.4.1. By Type
8.4.2. By Material
8.4.3. By End User
8.4.4. By Country
8.4.4.1. United Kingdom
8.4.4.2. Germany
8.4.4.3. France
8.4.4.4. Spain
8.4.4.5. Others
8.5. Middle East and Africa
8.5.1. By Type
8.5.2. By Material
8.5.3. By End User
8.5.4. By Country
8.5.4.1. Saudi Arabia
8.5.4.2. UAE
8.5.4.3. Others
8.6. Asia Pacific
8.6.1. By Type
8.6.2. By Material
8.6.3. By End User
8.6.4. By Country
8.6.4.1. China
8.6.4.2. Japan
8.6.4.3. India
8.6.4.4. South Korea
8.6.4.5. Taiwan
8.6.4.6. Others
9. COMPETITIVE ENVIRONMENT AND ANALYSIS
9.1. Major Players and Strategy Analysis
9.2. Market Share Analysis
9.3. Mergers, Acquisitions, Agreements, and Collaborations
9.4. Competitive Dashboard
10. COMPANY PROFILES
10.1. Laing O’Rourke
10.2. Red Sea Housing
10.3. ATCO
10.4. Bouygues Construction
10.5. VINCI
10.6. Skanska AB
10.7. Algeco Scotsman
10.8. Lendlease Corporation
10.9. KLEUSBERG GmbH & Co. KG
10.10. Comfort Systems USA
10.11. Clayton Homes
10.12. Guerdon Modular Buildings
10.13. Modular Building Systems
11. APPENDIX
11.1. Currency
11.2. Assumptions
11.3. Base and Forecast Years Timeline
11.4. Key benefits for the stakeholders
11.5. Research Methodology
11.6. Abbreviations
Laing O’Rourke
Red Sea Housing
ATCO
Bouygues Construction
VINCI
Skanska AB
Algeco Scotsman
Lendlease Corporation
KLEUSBERG GmbH & Co. KG
Comfort Systems USA
Clayton Homes
Guerdon Modular Buildings
Modular Building Systems
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