Engineering Services Market Report and Forecast 2024-2032

According to this report, the global engineering services market size reached a value of USD 1.16 trillion in 2023. Aided by the increasing demand for infrastructure development and rapid technological advancements, the market is projected to further grow at a CAGR of 4.8% between 2024 and 2032 to reach a value of USD 1.78 trillion by 2032.

Engineering services encompass a wide array of professional services, ranging from civil, mechanical, and electrical engineering to software engineering and environmental services. These services are integral in designing, developing, and maintaining critical infrastructure and technological solutions for various industries, including construction, automotive, aerospace, information technology, and energy. As economies around the world continue to evolve, engineering services play a pivotal role in driving innovation, enhancing productivity, and improving overall operational efficiency.

One of the primary factors driving the engineering services market growth is the rising demand for infrastructure development, such as roads, bridges, airports, and housing projects. This is creating a significant need for engineering expertise. Governments and private sectors alike are heavily investing in modernising their infrastructure for economic development. This is boosting the demand for civil engineering services, including project design, structural analysis, and construction management.

In addition, the increasing adoption of cutting-edge technologies, such as artificial intelligence (AI), machine learning, the Internet of Things (IoT), and cloud computing, is transforming the engineering services landscape. For instance, AI and IoT are being increasingly utilised in predictive maintenance, automation of industrial processes, and smart city development. This is one of the key engineering services market trends.

Moreover, the shift towards sustainability and environmentally conscious solutions is shaping the market dynamics of engineering services. With growing concerns over climate change and environmental degradation, industries are placing greater emphasis on adopting green and sustainable engineering practices. This trend is particularly prominent in sectors such as energy, construction, and transportation, where sustainable design and renewable energy solutions are gaining traction.

The expanding role of engineering services in the automotive and aerospace industries is also accelerating the engineering services market development. The growing demand for EVs, driven by the need to reduce carbon emissions and promote sustainable transportation, is fuelling the demand for engineering expertise in battery technology, powertrain design, and charging infrastructure. Similarly, in the aerospace industry, engineering services play a crucial role in developing innovative aircraft designs, improving aerodynamics, and enhancing safety standards.

Another significant factor contributing to the engineering services market value is the increasing need for software engineering and IT services. As digital transformation accelerates across industries, the demand for software engineering solutions, including application development, systems integration, and cybersecurity, continues to rise. Engineering firms are increasingly incorporating software-driven solutions to optimise operations, enhance customer experiences, and drive innovation. The growing reliance on digital platforms and the increasing complexity of IT infrastructure are driving demand for specialized engineering services in software development and system design.

Additionally, the engineering services market revenue is rising due to the strong demand from the oil and gas sector. Engineering services in this sector are crucial for the design, construction, and maintenance of drilling rigs, pipelines, and refineries. With the global energy demand continuing to rise, engineering firms that provide services related to exploration, extraction, and production are in high demand. The market is also benefitting from advancements in technologies like automation, robotics, and data analytics, which are helping to improve the efficiency and safety of oil and gas operations.

In conclusion, the global market for engineering services is being driven by the rising demand for infrastructure development, technological advancements, and sustainable solutions. As industries across the board continue to innovate and evolve, engineering services will remain a critical enabler of progress, supporting the development of modern infrastructure, cutting-edge technologies, and environmentally friendly solutions. The engineering services market demand is expected to be further bolstered by the increasing integration of digital technologies, the growing focus on renewable energy projects, and the continued demand from key sectors such as automotive, aerospace, and oil and gas.

Market Segmentation

The market can be divided based on services, delivery model, industry vertical, and region.

Market Breakup by Services

• Product Engineering
• Process Engineering
• Automation Related Services
• Asset Management Related Services

Market Breakup by Delivery Model

• Off-shore
• On-shore

Market Breakup by Industry Vertical

• Aerospace and Defence
• Automotive
• Chemical and Petrochemical
• Utilities
• Mining
• Oil and Gas
• Healthcare
• Others

Market Breakup by Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa

Competitive Landscape

The report looks into the market shares, plant turnarounds, capacities, investments, and mergers and acquisitions, among other major developments, of the leading companies operating in the global engineering services market. Some of the major players explored in the report are as follows:

• STRABAG SE
• AECOM
• HCL Technologies Ltd.
• IBM Corporation
• Capgemini SE
• Infosys Limited
• NV5 Global, Inc.
• Bechtel Corporation
• Jones Lang LaSalle IP, Inc.
• Kiewit Corporation
• Others