Ready Mix Concrete Market Outlook to 2029

Global Ready Mix Concrete Market Overview

Global Ready Mix Concrete market reached a size of USD 615 billion in 2023, driven by rapid urbanization and increased infrastructure development. The demand for efficient and high-quality construction materials has surged, particularly in emerging economies. Government initiatives promoting sustainable and durable building materials have further fueled the market's growth.

Key players in the market include CRH, Heidelberg Materials, SIKA Group, ACC Limited. These companies dominate the market with extensive distribution networks and advanced production facilities. They continuously invest in research and development to improve product quality and sustainability.

In 2024, ACC Limited has successfully acquired the remaining 55% stake in Asian Concretes and Cements Pvt Ltd (ACCPL) for an enterprise value of 775 crore, completing its transition to full ownership. This acquisition, which was funded entirely through internal accruals, enhances ACC's cement production capacity and is part of a broader strategy to strengthen its market leadership in North India.

Global Ready Mix Concrete Current Market Analysis

Asia-Pacific as dominant region: The Asia-Pacific region dominates the ready-mix concrete market due to rapid urbanization and infrastructure development. Macao, Singapore, and Hong Kong had completely urban populations in 2023.China and India lead with massive construction projects; China's construction output exceeded $4.34 trillion in 2022, employing over 52 million. The region, home to 60% of the worlds 4.3 billion people, sees rising disposable incomes ($8,187 in 2022) boosting demand for modern housing.Initiatives like Make in India and advanced construction technologies further support this growth.

North America as emerging region: North America is emerging as a key player in the global ready-mix concrete market, bolstered by major projects like the Dallas to Houston Railway Line and New Yorks Gateway Program.With 83% of its population in urban areas as of 2023, the region is experiencing growth in residential and commercial construction. The Infrastructure Investment and Jobs Act allocates $1.2 trillion, including $550 billion for new spending.Innovations in concrete technology and stringent regulations, such as NESHAP for cement manufacturing, further drive demand.

China as dominant country: China dominates the global ready-mix concrete market, fueled by its urbanization rate exceeded 65% in 2023 and extensive infrastructure projects.The 14th Five-Year Plan targets include expanding high-speed rail by 12,000 km and building 29 new airports by 2025. With about 30% of foreign firms in China engaged in production or assembly, the country's robust construction sector and advanced production capabilities not only meet substantial domestic demand but also significantly influence global supply and market trends.

Global Ready Mix Concrete Market Segmentation

The Global Ready Mix Concrete Market can be segmented based on several factors:

By Product Type: Global ready mix concrete market is segmented by offerings is divided into transit mixed concrete, shrink mixed concrete and central mixed concrete. In 2023, transit mixed concrete leads the market due to its flexibility and efficiency in delivering fresh concrete directly to construction sites. This segment benefits from its ability to maintain the quality and consistency of concrete during transportation, making it ideal for large-scale and diverse construction projects.

By Application: Global Ready-Mix Market is segmented by application into commercial & infrastructure, residential & industrial. In 2023, the residential segment dominates the market. The growing need for residential infrastructure, including new homes and apartment complexes, has led to a significant share of ready-mix concrete consumption in this sector.

Global Ready Mix Concrete Market Competitive Landscape

CRH and Buzzi Unicem: In 2023, CRH, an Ireland-based building materials company, reached an agreement with Italy's Buzzi Unicem to acquire certain Central-Eastern European assets, including Buzzi's business in Ukraine and ready-mix concrete assets in Eastern Slovakia, for a consideration of USD 109 million. With the acquisition of Buzzi's assets and its own existing 3 cement plants in Ukraine, CRH will become the largest cement producer in the country.

Holcim Circular Technology: In 2023, Holcim launched the ECOCycle circular technology platform which focuses on recycling 100% of concrete-based construction demolition materials (CDM) into new building solutions, marking a significant step towards sustainable construction practices. The platform aims to reduce reliance on natural resources and minimize waste in the construction industry by enabling the use of recycled materials in various applications.

ACC Limited Product Launches: In 2021, ACC Limited launched four innovative ready-mix concrete products aimed at enhancing construction efficiency and sustainability. These products reflect ACC Limited's commitment to innovation and sustainability in the construction sector, catering to diverse project requirements while promoting environmentally friendly practices

Global Ready Mix Concrete Industry Analysis

Global Ready to Mix Concrete Market Growth Drivers:

Booming Construction Sector: Before the coronavirus pandemic, the industry reached a spending value close to 12 trillion U.S. dollars. The Asia-Pacific region dominates global construction spending, accounting for nearly 40% of total expenditures. This growth is expected to continue at a rate of about three percent per annum, reflecting ongoing demand for new infrastructure and buildings as urban populations expand and economies develop.

Technological Advancements and Innovation: Technological advancements in the Ready-Mix Concrete (RMC) industry are enhancing production quality and efficiency. The integration of sensors, drones, and IoT devices facilitates real-time monitoring and analysis, leading to higher quality, faster production, and reduced costs. ACC Limited developed 'Coolcrete,' a temperature-controlled concrete solution.

Population Growth: Urban population growth is driving demand for housing and infrastructure, thereby increasing the need for ready-mix concrete. The residential sector, consuming nearly 36.96% of global ready-mix concrete in 2022, is the largest consumer. Currently, 56% of the world's population, or 4.4 billion people. Urbanization, generating over 80% of global GDP, is a key driver of sustainable growth.

Global Ready to Mix Concrete Market Challenges:

Supply Chain Disruptions & Logistical Challenges: The ready-mix concrete market faces ongoing supply chain disruptions and labor shortages. Transporting concrete requires meticulous planning; unforeseen issues like traffic can delay delivery, rendering the material unusable. Breakdowns in transportation processes cause further delays. For example, during the pandemic, labor shortages and supply chain disruptions significantly impacted the construction industry, highlighting these challenges.

Limited Space for Mixing Materials & Transportation Costs: Limited space near construction sites necessitates transporting concrete mixtures. Traffic delays can cause the mixture to settle or lose workability, hindering market growth. Specialized vehicles for transporting concrete from mixing plants to sites incur higher transportation costs, affecting demand.

Global Ready Mix Concrete Market Government Initiatives:

Bharatmala Pariyojana: The Indian government invests USD 777.73 billion in infrastructure projects between 2019 and 2023, which is expected to significantly boost the demand for ready-mix concrete across various sectors. In 2023, Bharatmala Pariyojana plans to construct or renovate 34,800 km of roads with a total investment of USD 130 billion, which will significantly increase demand for ready-mix concrete.

National Affordable Housing Policy: The Malaysian government has prioritized affordable housing as a key initiative, aiming to construct approximately 500,000 affordable housing units by 2025. This initiative is part of the National Affordable Housing Policy. The large-scale construction of affordable housing units will require substantial quantities of ready-mix concrete, boosting demand in the market.

Global Ready Mix Concrete Future Market Outlook

The market is expected to reach USD 990 Bn by 2029 driven by increasing infrastructure investments and government initiatives promoting sustainable construction. The market outlook for 2028 suggests a robust expansion, supported by the rising demand for high-quality, durable building materials. Governments worldwide are focusing on enhancing infrastructure, further boosting the market.

Future Market Trends

Adoption of Green Concrete Technologies: In the future, the ready-mix concrete market will see increased adoption of green concrete technologies. Companies are investing in research and development to create eco-friendly concrete solutions that reduce carbon emissions and enhance sustainability. This trend aligns with global environmental goals and regulatory requirements, driving innovation in the market.

Integration of Digital Technologies: The integration of digital technologies in the ready-mix concrete market will become more prevalent. Advanced software solutions and IoT devices will improve the efficiency of production and delivery processes. Real-time monitoring and data analytics will optimize operations, reduce waste, and enhance the overall quality of ready-mix concrete.