The Canadian construction industry presents market opportunities through investments in residential, non-residential, and public transportation infrastructures. Key growth is anticipated from renewable energy initiatives and affordable housing projects, while overcoming challenges posed by US-Canada political tensions.
Dublin, Dec. 01, 2025 (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 (Q3 2025)” report has been added to ResearchAndMarkets.com’s offering.
The analyst expects the construction industry in Canada to expand by 2.2% in real terms in 2025, supported by rising investments in both residential and non-residential construction, which can be evidenced through a rise in building permits issued.
According to Statistics Canada, the total value of building permits issued grew by 2.8% year-on-year (YoY) in the first half of 2025, while the total value of investment in building construction rose by 4.9% YoY during the same period. However, the Canadian construction industry is expected to face challenges in 2025, due to the ongoing political tensions between Canada and the US, following President Donald Trump’s punitive tariff measures.
Despite this, the Canadian construction industry is expected to recover in 2026 and register an annual average rate of 2.6% from 2026 to 2029. Construction growth will be supported by government investments into improving regional connectivity, increasing renewable energy provisions, and a rise in investments for affordable housing projects.
Firstly, the Canada Public Transit Fund (CPTF), has announced plans to invest an average CAD3 billion ($2.2 billion) annually for public transportation infrastructure for the next 10 years, starting from fiscal year (FY) 2026-27 (starting April 2026). Moreover, significant investment will be directed towards meeting the government’s aim of reducing greenhouse gas (GHG) emissions by 50% by 2030, compared to 2005 levels, along with increasing installed energy storage capacity to 1,149MW in 2030.
Report Scope
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Historical (2020-2024) and forecast (2025-2029) valuations of the construction industry in Canada, featuring details of key growth drivers.
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Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
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Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
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Listings of major projects, in addition to details of leading contractors and consultants
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