Construction in argentina key trends and opportunities to 2019

Construction in Argentina - Key Trends and Opportunities to 2019 Detailed Research Report By MarketResearchReports.biz MarketResearchReports.Biz announces addition of new report “ Construction in Argentina - Key Trends and Opportunities to 2019” to its database.

Description Construction activity in Argentina was weak in 2014, due to the deteriorating business environment, currency depreciation and high inflation. The country’s construction industry consequently contracted by 0.5% in real terms that year. This was preceded by an annual growth rate of 3.6% in real terms in 2013.

The industry’s value is expected to pick up over the forecast period (2015–2019), with investment in public infrastructure, renewable and nuclear energy, commercial and industrial projects, and improvements in consumer and investor confidence.

Assuming a new, more centrist, government is elected in the last 2015 presidential elections, there is likely to be an improvement in investors’ perceptions regarding the Argentine government, which could stimulate fresh investment.

In real terms, the construction industry’s output value is forecast to rise at a compound annual growth rate (CAGR) of 4.88% over the forecast period (2014–2019); up from 2.22% recorded during the review period (2010–2014).

Summary Timetric’s Construction in Argentina – Key Trends and Opportunities to 2019 report provides detailed market analysis, information and insights into the Argentine construction industry including: The Argentine construction industry's growth prospects by market, project type and type of construction activity Analysis of equipment, material and service costs across each project type within Argentina Critical insight into the impact of industry trends and issues, and the risks and opportunities they present to participants in the Argentine construction industry Profiles of the leading operators in the Argentine construction industry Data highlights of the largest construction projects in Argentina Download Sample Copy of This Report at: http://www.marketresearchreports.biz/sample/sample/458638

Scope This report provides a comprehensive analysis of the construction industry in Argentina. It provides: Historical (2010-2014) and forecast (2015-2019) valuations of the construction industry in Argentina using construction output and value-add methods Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by project type Breakdown of values within each project type, by type of activity (new construction, repair and maintenance, refurbishment and demolition) and by type of cost (materials, equipment and services) Analysis of key construction industry issues, including regulation, cost management, funding and pricing Detailed profiles of the leading construction companies in Argentina Reasons To Buy Identify and evaluate market opportunities using Timetric's 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 Timetric's critical and actionable insight Assess business risks, including cost, regulatory and competitive pressures Evaluate competitive risk and success factors Key Highlights Currency devaluation and high inflation are the two large economic concerns in Argentina, and have impacted its growth prospects. According to the Instituto Nacional de Estadística y Censos (INDEC), the country recorded average annual inflation of 16.1% in January–September 2015. The country’s official inflation rate was 24.0% in 2014, whereas the unofficial figure was close to 40.0%. Rising prices reduced the consumer purchasing power, demand, and business and consumer confidence. A weakened currency was also a factor driving inflation. The Argentine peso depreciated against the US dollar by nearly 23.0% in 2014, making imported products much more expensive.

The Argentine construction industry is expected to be supported by funding from China to help develop the country’s infrastructure. In order to finance construction projects in Argentina, China signed a loan agreement worth ARS60.6 billion (US$7.5 billion) with Argentina in 2014.

In 2014, Argentina signed a contract with Chile to construct a 13.9km trans-Andean Agua Negra tunnel. The project will provide a link between the province of San Juan in Argentina and Chile's Coquimbo region, and will reduce the cross border path by 44km. The total investment for the project is estimated at ARS11.1 billion (US$1.4 billion).

In order to produce clean and cheap energy to meet rising demand for electricity, the government is focused on developing nuclear energy sources, which will boost the country’s construction industry and economy. Accordingly, to enhance the country’s energy infrastructure, the government is seeking help from foreign investors. To help the government meet its targets, in February 2015 the Chinese government signed an agreement with the Argentine government for the construction of two nuclear power projects in the country.

In September 2015, a new renewable energy law was passed by Argentina's Chamber of Deputies, a legislative body, to speed up the expansion of the country’s alternative sources of energy generation. Under this law, the government aims to generate 8% of the country’s total electricity needs through renewable sources by 2017, and 20% by 2025. Accordingly, to accomplish this target, the government announced a trust fund for the development of renewable energy sources,

which will help to finance renewable energy projects in the country.

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