Construction aggregates are basic materials such as sand, gravel, crushed stone, slag, recycled concrete, and geosynthetic aggregates that are used in construction. The aggregates are a basic need for construction activities including infrastructure development, construction of roads, highways, bridges, and buildings. Some key uses of construction aggregates include usage in concrete, bituminous mixtures, railway ballast, and asphalt concrete. Concrete is the most widely used man-made commodity globally, and it is composed of cement, sand, gravel or crushed stone, and water. Concrete finds extensive applications in building bridges, roads, buildings, and other infrastructure. The growing infrastructure development activities to support rapid urbanization are expected to boost the demand for construction aggregates over the coming years.
The global construction aggregates market is estimated to be valued at US$ 608.36 Bn in 2024 and is expected to exhibit a CAGR of 6.3% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
The construction aggregates market is expected to be flourished by rapid infrastructure development projects across major economies. Mega infrastructure projects such as high-speed rail networks, airports, smart cities, roadways are being developed extensively which require a large amount of construction aggregates. According to the World Economic Forum, it is estimated that USD 94 trillion will be invested globally in infrastructure by 2040, of which nearly 60% will be spent in the Asia Pacific region. Such extensive infrastructure spending is indicative of huge opportunities for construction aggregates suppliers. Another key driver for the market growth is increased government funding for infrastructure development. Many governments are allocating higher budgets for bridge, road, airport construction to improve connectivity and support economic growth. For instance, the U.S. government approved a $1 trillion infrastructure bill in 2021 focusing on transportation, utilities, and environment-related infrastructure spending which will generate construction aggregates demand.
Segment Analysis
The global construction aggregates market can be segmented based on type and application. The type segment includes crushed stone, sand, gravel, and others. Among these, the crushed stone segment dominates the market and accounted for over 60% share in 2024 due to its extensive usage in concrete production. Crushed stone has desirable physical properties including high strength and resistance to wear and weathering, which make it suitable for construction activities.
PEST Analysis
Political: Favorable government initiatives towards infrastructure development in developing nations will boost market growth. Various countries are focusing on road construction, rail, water supply, and affordable housing projects.
Economic: Rising disposable income, rapid urbanization, and growth in construction spending are major drivers of the construction aggregates industry. Economic development programs in Asia Pacific will augment regional demands.
Social: Population growth and migration towards cities require new housing, transport, and commercial infrastructure development. This positively impacts aggregate consumption.
Technological: Recent advancements in mining and quarrying equipment have improved productivity while reducing costs. Technologies supporting sustainable construction also benefit the industry.
Key Takeaways
The Global Construction Aggregates Market Size is expected to witness high growth supported by ongoing infrastructure projects worldwide. The global construction aggregates market is estimated to be valued at US$ 608.36 Bn in 2024 and is expected to exhibit a CAGR of 6.3% over the forecast period 2024 to 2031.
Regional analysis
The Asia Pacific region accounted for over 50% share in the global construction aggregates market in 2024 led by China, India, and other developing economies. Rapid urbanization and the ‘One Belt One Road’ initiative in China have led to large-scale construction of roads, railways, and buildings necessitating high aggregate consumption. Demand is further expected to rise with ongoing housing projects and investments planned under India’s National Infrastructure Pipeline.
Key players
Key players operating in the construction aggregates market are Sika Ag, Trelleborg Ab, Henkel Ltd., Flexcon Company, Inc, Nitto Denko Corporation, Pyrotek Inc., Vibratec, Autoneum, Rousch, Avery Dennison Corporation, American Acoustical Products, Polymer Technology Inc. Soundown Corporation, Heathcote Industrial Plastics, Vibracoustic Gmbh, Megasorber Pty Ltd, and 3M.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
