Global construction market shifts as European groups outpace Chinese and US rivals

Despite pressures on business activity, Deloitte maintains that the sector’s long-term outlook remains positive, with urbanisation, infrastructure investment and international expansion emerging as key drivers of growth.

According to the report, combined sales among the 100 largest publicly listed construction companies reached approximately $1.972 trillion in 2025, representing a 0.4% decrease compared with the previous year. The ranking includes major groups active in building construction and infrastructure projects that meet the criteria for stock exchange listing.

Performance across the sector varied considerably by geographical region and company. Some groups strengthened their results by capitalising on substantial project backlogs and increased infrastructure investment. Others, however, were affected by currency fluctuations, a normalisation of activity following strong performances in previous years, and weaker demand in the residential construction market.

Meanwhile, macroeconomic uncertainty, financing constraints and supply chain disruptions continue to weigh on the business environment. Nevertheless, the sector’s aggregate market capitalisation increased by 12% in 2025, reflecting investor expectations of improved medium- and long-term prospects.

China Retains Its Dominant Position as Europe Records Stronger Growth

China continues to dominate the global construction sector, accounting for approximately 48.5% of the combined sales of the world’s 100 largest construction companies. However, Chinese groups recorded a 5.5% decline in revenue in 2025, reflecting the pressures facing the domestic market.

In the United States, companies’ combined sales fell by 0.9%, a development linked to more subdued activity in residential construction. Europe, by contrast, demonstrated stronger momentum, with company sales increasing by approximately 9%.

These differences highlight the importance of market-specific conditions, as well as construction groups’ ability to adapt their strategies to changes in demand, financing costs and investment priorities.

Construction Sector Forecast to Grow by 5.9% Annually Through 2030

Despite short-term challenges, projections for the construction sector’s long-term development remain positive. The sector is forecast to grow at an annual rate of 5.9% through 2030, with urbanisation expected to be one of the most significant drivers of demand.

Currently, approximately 50% of the global population lives in urban areas. By 2050, nearly two-thirds of global population growth is expected to occur in cities, generating additional demand for housing, transport networks, energy infrastructure and modern facilities.

This trend is expected to support further investment in buildings and infrastructure, while increasing the need for more efficient resource utilisation and the development of sustainable construction solutions.

Diversification and International Expansion Strengthen Resilience

Diversifying business activities and expanding into international markets are important strategies for strengthening the resilience of major construction groups. According to Deloitte, for the 30 largest companies, revenue from activities outside their core construction operations accounted for 26.7% of total sales in 2025.

The expansion of business portfolios encompasses sectors such as real estate and industrial services, while some groups have also diversified into areas including media and financial services. The objective is to establish additional revenue streams and reduce exposure to fluctuations in the traditional construction market.

At the same time, the leading groups have expanded their international presence. Nearly 24.7% of the combined sales of the 30 largest companies came from overseas markets in 2025, up from 21.3% in 2024.

European construction groups demonstrate the highest degree of internationalisation, with 67% of their sales generated outside their home countries. By contrast, major construction groups in China and the United States remain more heavily reliant on their domestic markets.

International expansion and revenue diversification are therefore emerging as key sources of competitiveness across the construction sector. In an environment characterised by rising financing and operating requirements, access to new markets and the development of complementary business activities can help strengthen resilience and sustain the growth momentum of the world’s largest construction groups.