Construction in Finland - Key Trends and Opportunities to 2018

Published: Jun, 2014 | Pages: 70 | Publisher: Timetric
Industry: Construction | Report Format: Electronic (PDF)


Synopsis
This report provides detailed market analysis, information and insights into the Finnish construction industry including:
The Finnish construction industry's growth prospects by market, project type, and construction activity
Analysis of equipment, material and service costs across each project type in Finland
Critical insight into the impact of industry trends and issues, and the risks and opportunities they present to participants in the Finnish construction industry
Profiles of the leading operators in the Finnish construction industry
Data highlights of the largest construction projects in Finland 

Summary
The Finnish construction industry recorded a compound annual growth rate (CAGR) of 2.34% during the review period (2009?2013). The industry will be primarily supported by the commercial and infrastructure markets, due to government efforts to support the country's growth and competitiveness. According to Invest in Finland, the government agency that promotes foreign investment in the country, foreign direct investment (FDI) rose from 153 new investments in 2012 to 213 in 2013. However, slow economic growth and limited government spending will affect investments in the institutional market. Consequently, the construction industry's output is expected to record a CAGR of 1.50% over the forecast period (2014?2018), driven by increased FDI and government's focus on strengthening the country's urban infrastructure. 
Scope
This report provides a comprehensive analysis of the construction industry in Finland. It provides:
Historical (2009-2013) and forecast (2014-2018) valuations of the construction industry in Finland using construction output and value-add methods
Segmentation by sector (commercial, industrial, infrastructure, institutional and residential) and by project type
Breakdown of values within each project type, by type of activity (new construction, repair and maintenance, refurbishment and demolition) and by type of cost (materials, equipment and services)
Analysis of key construction industry issues, including regulation, cost management, funding and pricing
Detailed profiles of the leading construction companies in Finland 
Reason To Buy
 Identify and evaluate market opportunities using our standardized valuation and forecasting methodologies
Assess market growth potential at a micro-level with over 600 time-series data forecasts
Understand the latest industry and market trends
Formulate and validate business strategies using Timetric's critical and actionable insight
Assess business risks, including cost, regulatory and competitive pressures
Evaluate competitive risk and success factors  
Key Highlights
 Due to slow economic growth, the construction industry declined in 2013. According to Statistics Finland, construction companies' turnover declined by 1.9% as compared to 2012, and the value add in the construction industry fell by 2.3% in 2013. In the last quarter of 2013, the turnover of the construction industry declined by 1.5% as compared to the same period of 2012. In the last quarter of 2013, the turnover of specialized construction activities dropped by 2.2%, and building construction decreased by 1.4% over the corresponding period of 2012. However, as a sign of future growth, in the last quarter of 2013 the area covered under building permits reached 8.9 million m2, 13.3% more than in the last quarter of 2012. 
In 2012, the government proposed to increase the standard VAT rate by 1 percentage point. However, according to shopping tourism company Global Blue, tax-free sales in 2013 increased by 27% in Kouvola and 25% in Imatra, as compared to 2012. The growth in tax-free sales in Finland was primarily contributed by the rising number of Russian visitors, and is likely to attract investments in the retail buildings category over the forecast period. 
According to Statistics Finland, net migration in the country increased from 17,433 in 2012 to 18,048 in 2013. Internal migration from rural urban areas will continue to rise, which will increase demand for residential units at growth centers such as Helsinki. According to the YIT Group, Finland's largest residential construction company, the country will need annual production of 24,000-29,000 apartments over the forecast period. However, restrictions in the availability of land for building apartments, and tough energy-efficiency requirements may constrain the housing supply, leading to the construction of smaller, more efficient apartments. With rising migration and changing housing needs, demand for residential units is likely to pick up over the forecast period. 
Finland aims to establish a carbon-neutral society by 2050, and better energy efficiency and increased investment in renewable energy will be needed to achieve this. According to the EU Renewable Energy Directive, the country aims to meet 38% of its total energy consumption through renewable sources by 2020. In its 2013 budget, the government increased energy subsidies to EUR145 million (US$192.2 million), of which EUR100 million (US$132.6 million) is to be allocated to bio-refinery projects, with the remaining amount allocated for renewable energy investments. As a result, the energy infrastructure category is expected to grow over the forecast period. 
According to Statistics Finland, the Finland's economy contracted by 1.4% in 2013. To support growth and competitiveness in the economy, in 2013 the government cut the corporate tax rate by 4.5 percentage points, from 24.5% to 20%, effective January 2014. This move should help to attract investment and create jobs in the country. The Bank of Finland predicts 0.6% GDP growth in 2014 and 1.7% in 2015. This is likely to improve business activities, enabling the office buildings category to grow over the forecast period.

 1 Executive Summary
2 Market Overview
2.1 Key Trends and Issues
2.2 Benchmarking by Market Size and Growth
3 Commercial Construction
3.1 Performance Outlook
3.2 Key Trends and Issues
3.3 Data and Project Highlights
4 Industrial Construction
4.1 Performance Outlook
4.2 Key Trends and Issues
4.3 Data and Project Highlights
5 Infrastructure Construction
5.1 Performance Outlook
5.2 Key Trends and Issues
5.3 Data and Project Highlights
6 Institutiol Construction
6.1 Performance Outlook
6.2 Key Trends and Issues
6.3 Data and Project Highlights
7 Residential Construction
7.1 Performance Outlook
7.2 Key Trends and Issues
7.3 7.3 Data and Project Highlights
8 Company Profile: YIT Corporation
8.1 YIT Corporation - Company Overview
8.2 YIT Corporation - Business Description
8.3 YIT Corporation - Main Services
8.4 YIT Corporation - History
8.5 YIT Corporation - Company Information
8.5.1 YIT Corporation - key competitors
8.5.2 YIT Corporation - key employees
9 Company Profile: Lemminkainen Oyj
9.1 Lemminkainen Oyj - Company Overview
9.2 Lemminkainen Oyj - Business Description
9.3 Lemminkainen Oyj - Main Services
9.4 Lemminkainen Oyj - History
9.5 Lemminkainen Oyj - Company Information
9.5.1 Lemminkainen Oyj - key competitors
9.5.2 Lemminkainen Oyj - key employees
10 Company Profile: SRV Group Plc
10.1 SRV Group Plc - Company Overview
10.2 SRV Group Plc - Main Services
10.3 SRV Group Plc - Company Information
10.3.1 SRV Group Plc - key competitors
10.3.2 SRV Group Plc - key employees
11 Company Profile: Destia Ltd
11.1 Destia Ltd - Company Overview
11.2 Destia Ltd - Main Products and Services
11.3 Destia Ltd - Company Information
11.3.1 Destia Ltd - key competitors
11.3.2 Destia Ltd - key employees
12 Company Profile: Oy Turku Energia
12.1 Oy Turku Energia - Company Overview
12.2 Oy Turku Energia - Main Products and Services
12.3 Oy Turku Energia - Company Information
12.3.1 Oy Turku Energia - key competitors
12.3.2 Oy Turku Energia - key employees
13 Market Data Alysis
13.1 Construction Output and Value Add
13.1.1 Construction output by project type
13.1.2 Construction output by cost type
13.1.3 Construction output by activity type
13.1.4 Construction value add by project type
13.2 Commercial Construction
13.2.1 Commercial construction output by project type
13.2.2 Commercial construction output by cost type
13.2.3 Commercial construction output by activity type
13.2.4 Commercial construction value add by project type
13.3 Industrial Construction
13.3.1 Industrial construction output by project type
13.3.2 Industrial construction output by cost type
13.3.3 Industrial construction output by activity type
13.3.4 Industrial construction value add by project type
13.4 Infrastructure Construction
13.4.1 Infrastructure construction output by project type
13.4.2 Infrastructure construction output by cost type
13.4.3 Infrastructure construction output by activity type
13.4.4 Infrastructure construction value add by project type
13.5 Institutiol Construction
13.5.1 Institutiol construction output by project type
13.5.2 Institutiol construction output by cost type
13.5.3 Institutiol construction output by activity type
13.5.4 Institutiol construction value add by project type
13.6 Residential Construction
13.6.1 Residential construction output by project type
13.6.2 Residential construction output by cost type
13.6.3 Residential construction output by activity type
13.6.4 Residential construction value add by project type
14 Appendix
14.1 What is this Report About?
14.2 Definitions
14.3 Summary Methodology
14.4 Methodology
14.5 Contact Timetric
14.6 About Timetric
14.7 Timetric's Services
14.8 Disclaimer


List of Tables
Table 1: Benchmarking with Other Major Construction Industries
Table 2: Commercial Construction Project 1 - SGroup - Bastukarr Logistics Park - Finland
Table 3: Commercial Construction Project 2 - HIFK - Helsinki Garden Are Development - Finland
Table 4: Commercial Construction Project 3 - GOOG - Hami Data Center Expansion: Phase III - Finland
Table 5: Industrial Construction Project 1 - Metsa - aanekoski Bio-Product Mill - Finland
Table 6: Industrial Construction Project 2 - UPMKY - Kymi Mill Expansion - Finland
Table 7: Industrial Construction Project 3 - Forest BtL - Ajos Island Biomass-to-Liquid Plant - Finland
Table 8: Infrastructure Construction Project 1 - Lansimetro - Helsinki Metro Expansion - Finland
Table 9: Infrastructure Construction Project 2 - Liikennevirasto - Helsinki City Rail Loop - Finland
Table 10: Infrastructure Construction Project 3 - Fivia - Helsinki-Vantaa Airport Expansion - Finland
Table 11: Institutiol Construction Project 1 - CoH - Helsinki Central Library - Finland
Table 12: Institutiol Construction Project 2 - Pohjola - Haukipudas School and Day Care Center - Northern Ostrobothnia
Table 13: Residential Construction Project 1 - ATT - Jatkasaari Housing Development - Finland
Table 14: Residential Construction Project 2 - VVO - Lauri Korpinen Street 10 Residential Development - Finland
Table 15: Residential Construction Project 3 - NCC - Hameenlinkeskus Residential Development - Hame
Table 16: YIT Corporation, Key Facts
Table 17: YIT Corporation, Main Services
Table 18: YIT Corporation, History
Table 19: YIT Corporation, Key Employees
Table 20: Lemminkainen Oyj, Key Facts
Table 21: Lemminkainen Oyj, Main Services
Table 22: Lemminkainen Oyj, History
Table 23: Lemminkainen Oyj, Key Employees
Table 24: SRV Group Plc, Key Facts
Table 25: SRV Group Plc, Main Services
Table 26: SRV Group Plc, Key Employees
Table 27: Destia Ltd, Key Facts
Table 28: Destia Ltd, Main Products and Services
Table 29: Destia Ltd, Key Employees
Table 30: Oy Turku Energia, Key Facts
Table 31: Oy Turku Energia, Main Products and Services
Table 32: Oy Turku Energia, Key Employees
Table 33: Finnish Construction Output by Project Type (EUR Million), 2009-2013
Table 34: Finnish Construction Output by Project Type (EUR Million), 2013-2018
Table 35: Finnish Construction Output by Cost Type (EUR Million), 2009-2013
Table 36: Finnish Construction Output by Cost Type (EUR Million), 2013-2018
Table 37: Finnish Construction Output by Activity Type (EUR Million), 2009-2013
Table 38: Finnish Construction Output by Activity Type (EUR Million), 2013-2018
Table 39: Finnish Construction Value Add by Project Type (EUR Million), 2009-2013
Table 40: Finnish Construction Value Add by Project Type (EUR Million), 2013-2018
Table 41: Finnish Commercial Construction Output by Project Type (EUR Million), 2009-2013
Table 42: Finnish Commercial Construction Output by Project Type (EUR Million), 2013-2018
Table 43: Finnish Commercial Construction Output by Cost Type (EUR Million), 2009-2013
Table 44: Finnish Commercial Construction Output by Cost Type (EUR Million), 2013-2018
Table 45: Finnish Commercial Construction Output by Activity Type (EUR Million), 2009-2013
Table 46: Finnish Commercial Construction Output by Activity Type (EUR Million), 2013-2018
Table 47: Finnish Commercial Construction Value Add by Project Type (EUR Million), 2009-2013
Table 48: Finnish Commercial Construction Value Add by Project Type (EUR Million), 2013-2018
Table 49: Finnish Industrial Construction Output by Project Type (EUR Million), 2009-2013
Table 50: Finnish Industrial Construction Output by Project Type (EUR Million), 2013-2018
Table 51: Finnish Industrial Construction Output by Cost Type (EUR Million), 2009-2013
Table 52: Finnish Industrial Construction Output by Cost Type (EUR Million), 2013-2018
Table 53: Finnish Industrial Construction Output by Activity Type (EUR Million), 2009-2013
Table 54: Finnish Industrial Construction Output by Activity Type (EUR Million), 2013-2018
Table 55: Finnish Industrial Construction Value Add by Project Type (EUR Million), 2009-2013
Table 56: Finnish Industrial Construction Value Add by Project Type (EUR Million), 2013-2018
Table 57: Finnish Infrastructure Construction Output by Project Type (EUR Million), 2009-2013
Table 58: Finnish Infrastructure Construction Output by Project Type (EUR Million), 2013-2018
Table 59: Finnish Infrastructure Construction Output by Cost Type (EUR Million), 2009-2013
Table 60: Finnish Infrastructure Construction Output by Cost Type (EUR Million), 2013-2018
Table 61: Finnish Infrastructure Construction Output by Activity Type (EUR Million), 2009-2013
Table 62: Finnish Infrastructure Construction Output by Activity Type (EUR Million), 2013-2018
Table 63: Finnish Infrastructure Construction Value Add by Project Type (EUR Million), 2009-2013
Table 64: Finnish Infrastructure Construction Value Add by Project Type (EUR Million), 2013-2018
Table 65: Finnish Institutiol Construction Output by Project Type (EUR Million), 2009-2013
Table 66: Finnish Institutiol Construction Output by Project Type (EUR Million), 2013-2018
Table 67: Finnish Institutiol Construction Output by Cost Type (EUR Million), 2009-2013
Table 68: Finnish Institutiol Construction Output by Cost Type (EUR Million), 2013-2018
Table 69: Finnish Institutiol Construction Output by Activity Type (EUR Million), 2009-2013
Table 70: Finnish Institutiol Construction Output by Activity Type (EUR Million), 2013-2018
Table 71: Finnish Institutiol Construction Value Add by Project Type (EUR Million), 2009-2013
Table 72: Finnish Institutiol Construction Value Add by Project Type (EUR Million), 2013-2018
Table 73: Finnish Residential Construction Output by Project Type (EUR Million), 2009-2013
Table 74: Finnish Residential Construction Output by Project Type (EUR Million), 2013-2018
Table 75: Finnish Residential Construction Output by Cost Type (EUR Million), 2009-2013
Table 76: Finnish Residential Construction Output by Cost Type (EUR Million), 2013-2018
Table 77: Finnish Residential Construction Output by Activity Type (EUR Million), 2009-2013
Table 78: Finnish Residential Construction Output by Activity Type (EUR Million), 2013-2018
Table 79: Finnish Residential Construction Value Add by Project Type (EUR Million), 2009-2013
Table 80: Finnish Residential Construction Value Add by Project Type (EUR Million), 2013-2018
Table 81: Timetric Construction Market Definitions