UAE Transportation Infrastructure Construction Market - Growth , Trends , Forecasts (2022 - 2027)

The UAE Transportation Infrastructure Construction Market is anticipated to register a CAGR of approximately 5 % over the forecast period.

The COVID - 19 had a significant impact on the UAE construction sector in 2020. But the pandemic had left the least impact on infrastructure construction , which had a postive outlook in 2021. The UAE government had started announcing new infrastructure development projects on Metro and Railways and plans to invest some billion USD in thses projects . The consultaning companies and government had also resumed working om delayed project due to COVID-19. A worth of USD 13.61 Billions is invested in Eithad Rails project.

Surface Transport Master Plan (Abu Dhabi ) - This plan devised to deliver a sustainable transport system capable of supporting the capital city's economic , cultural , social and environmental goals . This plan is expected to meet the needs and demands of residents , tourists and bussiness in the UAE capital. This project plans to promote cycling , walking . In this project , the vast public transport network is going to be powered by world leading renewable technology and fuels.

Dubai Autonomous Transportation Service - This service outlines the plan to transform 25 % of total transport in Dubai into an autonomous mode by 2030. It is estimated that this service implimentation will reduce transportation costs , lower accident rates , lower carbon emission.

Surface Transport Master Plan (Abu Dhabi ) - This plan devised to deliver a sustainable transport system capable of supporting the capital city's economic , cultural , social and environmental goals . This plan is expected to meet the needs and demands of residents , tourists and bussiness in the UAE capital. This project plans to promote cycling , walking . In this project , the vast public transport network is going to be powered by alternative-fuels and renewable energy technology.

Key Market Trends

Increasing Population in UAE

• The rapid growth in population of UAE is a major factor accelerating transporatation infrastructure construction investment . As per the World Bank , the population of UAE in 2021 is 9,771,074 which is 1.02% increase in population as compared to 2020.
• In 2020, 87.084 % of the total population in UAE shifted to Urban areas . By 2027 the population is expected to reach 40 % more than 2020 to shift to urban places and settle there.
• As the number of people living in urban areas grows , the growth of transportation infrastructure is also required to connect them in the urban areas in UAE.
• In UAE's main urban seven cities , Nearly 11 % of the total land of major uraban cities is consumed by public spaces and these lands are important to relieve the pressures caused by the rising population in the cities.
• As UAE is one of the developing countries , new transportation infrastructure is required to enable people to travel from rural to urban areas and vice-versa. Exisiting Transportation Infrastructure can also be expanded or improved to save amount of money required for new infrastructure construction , to improve environment and improve resilience.
• Government and infrastructure construction comapnies can use new and emerging technology to improve public services ( such as mobility and well-being) , communicate much more effectively with citizens , increase productivity , ans solve environmental and sustainability issues.

Growing Public Transport Demand

• The public transportation segment is expected to generate a huge revenue in 2022 and it is also expected that there will be a revenue growth in 2022 as comapred to 2021.
• Around 56 % population of UAE prefers Metro , Mono and Tram to travel daily. Hence Metro is the fastest and largest growing public transportation medium in UAE beacuse Metro travelling in UAE is cheapest as comapred to other travelling sources . Metro is choosen by people beacuse it takes less time to travel.
• The second highest preferred transportation service by people is Buses. Buses are mostly preferred by students and Working women. Buses are considered as Convinent travelling medium by people in UAE.
• For the transportation infrastructure industry , the interconnectedness of market is creating priceless opportunities to grow rapidly in transportation sector.

Competitive Landscape

The market is fragmented and some of the key players are AE - Arma Electropanc , Bechtel, Consolidated Contractors Company , Al Jaber LEGT Engineering & Contracting ( ALEC ) , DUTCO Balfour Beatty LLC . Generally the new transportation Infrastructure construction project is announced by the government and then it is taken up by one of the top player companies. The increasing demands for construction infrastructure for transportation mainly metros and demands for sustainability in the region are expected to adopt and remain competitive.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support