Dublin, Feb. 25, 2026 (GLOBE NEWSWIRE) -- The "Canada Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2029 (Q4 2025)" report has been added to ResearchAndMarkets.com's offering.
Construction industry in Canada to expand by 2.2% in real terms in 2025 and then grow by a further 2.6% in 2026
The sector will be supported by public and private sector investments in residential and non-residential construction, coupled with increase in investment in transport infrastructure. The total investment in building construction grew by 4.5% year on year (YoY) during the first nine months of 2025, according to Statistics Canada.
By segment, residential construction grew by 6.8% YoY and institutional construction grew by 6% YoY in January-September 2025. However, the Canadian construction industry is expected to face challenges in short term, due to the ongoing political tensions between Canada and the US, following President Donald Trump's punitive tariff measures. President Donald Trump announced an additional 10% tariff on Canadian goods, raising the total tariff on many Canadian imports to 35%.
Among the most severe measures were duties on key construction materials - steel, aluminum, and lumber -disproportionately affecting the construction industry. According to Statistics Canada, the total value of building permits issued declined by 2.1% YoY in the first nine months of 2025. By segments, the total value of residential building permits registered a muted performance, while the value of non-residential building permits fell by 5.3% YoY in January-September 2025.
Over the remainder of the forecast period, the Canadian construction industry is expected to register an annual average rate of 2.8% from 2026 to 2029. Construction growth will be supported by government investments to improve regional connectivity, increase renewable energy provisions, and increase investments for affordable housing projects. Prime Minister Mark Carney launched the federal Build Canada Homes agency in mid-September 2025 with the aim of supporting the construction of transitional and supportive housing.
The plans include building 4,000 homes on six federally owned sites, with an investment worth CAD13 billion ($9.5 billion) which is planned to start from 2026. Furthermore, under Canada's National Housing Strategy, a 10-year initiative launched in 2017, the government is planning to build 60,000 new housing units and as well as renew 170,000 housing units by 2029. Total investment for the project is expected to be CAD14.6 billion ($10.8 billion). As of March 2025, 20,139 units of the planned total are currently under construction and 19,496 units have now been completed.
Report Scope
- Historical (2020-2024) and forecast (2025-2029) valuations of the construction industry in Canada, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants
Reasons 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 the analyst's critical and actionable insight
- Assess business risks, including cost, regulatory and competitive pressures
- Evaluate competitive risk and success factors
Key Topics Covered:
1 Executive Summary
2 Construction Industry: At-a-Glance
3 Context
3.1 Economic Performance
3.2 Political Environment and Policy
3.3 Demographics
3.4 Risk Profile
4 Construction Outlook
4.1 All Construction
- Outlook
- Latest news and developments
- Construction Projects Momentum Index
4.2 Commercial Construction
- Outlook
- Project analytics
- Latest news and developments
4.3 Industrial Construction
- Outlook
- Project analytics
- Latest news and developments
4.4 Infrastructure Construction
- Outlook
- Project analytics
- Latest news and developments
4.5 Energy and Utilities Construction
- Outlook
- Project analytics
- Latest news and developments
4.6 Institutional Construction
- Outlook
- Project analytics
- Latest news and developments
4.7 Residential Construction
- Outlook
- Project analytics
- Latest news and developments
5 Key Industry Participants
5.1 Contractors
5.2 Consultants
6 Construction Market Data
7 Appendix
For more information about this report visit https://www.researchandmarkets.com/r/soryjb
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