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Precast Concrete Manufacturing in Canada Industry Market Research Report Now Available from IBISWorld
  • USA - English


News provided by

IBISWorld Inc.

Dec 04, 2014, 11:00 ET

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Subsiding fears about a housing bubble will help propel demand from residential and commercial builders

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New York, NY (PRWEB) December 04, 2014 -- The Precast Concrete Manufacturing industry designs and manufactures products such as tiles, slabs, panels, culverts, manholes, beams and trusses. Industry products are either precast using a standard mold or prestressed under the pressure of steel rods, and are used in construction projects. Infrastructure construction generates the majority of demand for precast and prestressed concrete, followed by residential and commercial building construction. Weak construction activity in the aftermath of the recession has curbed demand for industry products, limiting revenue growth to an in the five years to 2014.

According to IBISWorld Industry Analyst Amal Ahmad, “construction markets often turn to operators who can deliver concrete products rapidly and on tight project deadlines.” In addition, markets often require the product to be customized in strength, durability and shape. As a result, successful operators are located in proximity to key construction markets, keeping the industry relatively fragmented.

The bulky and heavy nature of precast concrete also limits extensive international trade in the industry. Export levels are low while import levels are low to moderate. Nonetheless, imports have accelerated rapidly in the five years to 2014, coming primarily from the nearby United States, which incurs low transportation costs, and from China, a low-cost manufacturer of generic products. “Imports are unlikely to displace industry operators in the domestic market, given the importance of local providers to construction markets,” says Ahmad. However, imports do intensify competitive pressure on operators, especially on the basis of price, which squeezes profit margins. IBISWorld expects a decline in profitability from five years prior. Profit has fallen due to weak market demand, rising input costs and greater import competition.

Going forward, IBISWorld expects the industry to benefit from improving construction markets. In particular, subsiding fears about a housing bubble will help propel demand from residential and commercial builders. Infrastructure spending is harder to forecast, pending developments in public spending. Overall, revenue is expected to rise.

For more information, visit IBISWorld’s Precast Concrete Manufacturing in Canada industry report page.

Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld
Friend IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189

IBISWorld industry Report Key Topics

The Precast Concrete Manufacturing industry manufactures precast and prestressed concrete products for use in various construction markets. Industry products include precast concrete slabs and panels, building boards, roofing tiles, railroad ties, posts and poles as well as prestressed bridge beams and trusses. The production of concrete blocks, bricks and pipes are excluded from this industry.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US and Canadian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.

Gavin Smith, IBISWorld Inc., http://www.ibisworld.com, +1 (310) 866-5042, [email protected]

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