China Construction Industry Report 2025: Output Contracted 1% in 2025 Due to US Tariffs, and a Declining Real Estate Market and a Fall in Fixed Capital Investment - Forecasts to 2029 - ResearchAndMarkets.com

DUBLIN--(BUSINESS WIRE)--The "China Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2029 (Q4 2025)" report has been added to ResearchAndMarkets.com's offering.

The Chinese construction industry is anticipated to contract by 1% in real terms in 2025, owing to high tariff imposed by the US, coupled with a declining real estate market and a fall in fixed capital investment.

According to the National Bureau of Statistics of China (NBS), total investment in real estate development declined by 13.9% year-on-year (YoY) during the period from January to September 2025. Moreover, the value of new contracts signed by construction enterprises declined by 4.6% YoY in the first three quarters of 2025.

In 2026, the construction industry is projected to register a growth of 1.3%, bolstered by government initiatives aimed at stimulating the economy through financial incentives and new loans to promote construction in the energy and industrial sectors. For example, in September 2025, the China Construction Bank (CCB) issued CNY10.8 billion ($1.5 billion) in green bonds maturing in 2030. The proceeds from these bonds will be allocated to finance green energy initiatives, including renewable energy and clean transportation projects.

The analyst expects the construction industry to record an average annual growth rate of 3.9% between 2027 and 2029, supported by investment in industry, infrastructure, and energy projects. The government aims to install 3,600GW of wind and solar power projects by 2035. To facilitate this, the government plans to install 15GW of offshore projects each year until 2030.

Furthermore, in September 2025, the government set a target to achieve 180GW of new energy storage systems by 2027, with an estimated investment of CNY250 billion ($34.9 billion). Additionally, in October 2025, the construction was started on the CNY200 billion ($27.9 billion) transmission project that will span 2,681km, traversing Tibet, China (Xizang), Yunnan province, Guangxi Zhuang Autonomous Region, Guangdong province, Hong Kong, and Macao; this project is anticipated to be completed by 2029.

The anticipated growth over the forecast period will also be bolstered by the National Development and Reform Commission (NDRC) and the Ministry of Transport's initiative to build 461,000km of highways by 2035, along with the government's strategy to expand transport network to 130,000km of expressways and 53,000km of high-speed rail by 2027.

Report Scope

• Historical (2020-2024) and forecast (2025-2029) valuations of the construction industry in China, 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 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 the analyst's critical and actionable insight
• Assess business risks, including cost, regulatory and competitive pressures
• Evaluate competitive risk and success factors

Key Topics Covered:

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 Energy and Utilities Construction

• Outlook
• Project analytics
• Latest news and developments

4.5 Institutional Construction

• Outlook
• Project analytics
• Latest news and developments

4.6 Residential Construction

• Outlook
• Project analytics
• Latest news and developments

4.7 Infrastructure Construction

• Outlook
• Project analytics
• Latest news and developments

5 Key Industry Participants

5.1 Contractors

5.2 Consultants

6 Construction Market Data

7 Appendix

For more information about this report visit https://www.researchandmarkets.com/r/1t1gk6

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