San Francisco, CA (PRWEB) June 15, 2013
China's rapid economic development in recent decades created a major market for engineering services, while reforms in the science and technology system promoted the commercialization of technology. As a result, engineering consultancy firms have become vitally important to modern economic development. In the five years through 2013, revenue for the Engineering Services industry has been increasing at an annualized rate of 5.8%, says IBISWorld.
China's construction and civil engineering industries grew consistently over the past several years. Infrastructure investment was a key element of China's past three five-year plans, which focused on roads, rail systems, bridges, ports and airports. This led to an increasing number of domestic and foreign engineering services firms entering the Engineering Services industry. The exchange of design concepts, project management experience and construction techniques have been invaluable to both local and foreign engineering services firms, says IBISWorld.
In addition, China's entry to the World Trade Organization (WTO) stimulated demand for engineering services in projects like hotels, high-rise buildings and housing. Engineering design and consulting services are also used in metallurgical industries, architecture, municipal engineering projects, roads, railways, bridges, electrical power, telecommunications, machinery manufacturing and environmental protection, among others, says IBISWorld.
The top four firms – CISDI Engineering, WISDRI Engineering & Research, China Overseas Engineering, and Shanghai Baosteel Engineering & Construction – that operate in the industry account for about 12.5% of industry revenue in 2013. Many engineering services firms operate on a small scale and are privately owned due to low-to-moderate barriers to enter the industry, says IBISWorld. The majority of these companies service narrow fields and lack advanced technologies and highly skilled employees. The low concentration level also reflects the diverse nature of the industry's services. Firms tend to focus on particular professional services or markets, specializing in either engineering design, project planning, or project management. However, the industry's largest firms operate across each of these areas.
For more information, visit IBISWorld’s Engineering Services in China industry report page.
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IBISWorld Industry Report Key Topics
The Engineering Services industry provides engineering services and management, engineering and graphic design services, and project planning management. Firms in this industry have technical capabilities and professional qualifications in overall project contracting, construction supervision and consulting.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
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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 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.