Forecast: Construction Value Added in Viet Nam

The value added by the construction industry in Viet Nam has demonstrated substantial growth from 2013 to 2023, escalating from $8.791 billion to $14.757 billion. The year-on-year growth initially peaked at 10.5% in 2015, but more recently, growth rates have tempered, with a 3.24% increase noted in 2023. The compound annual growth rate (CAGR) has also seen a decline over the years, starting from 8.41% during the early period and averaging out to 3.64% by 2023. As of 2023, the construction value added stood at $14.757 billion. Future projections suggest a more moderate growth trend, with the forecasted CAGR for the next five years at approximately 2.18%, reflecting an anticipated total growth rate of roughly 11.36% by 2028.

Future trends to watch for include:

• Technological advancements driving efficiency in construction processes.
• Increased government investment in infrastructure as a stimulant for further growth.
• Demographic changes influencing the nature and volume of construction projects.
• Environmental regulations pushing for more sustainable and green construction practices.