Announcement Shengquan will Attend the Big 5 Exhibition
We will attend the Big 5 exhibition, which will be hold during Feb 24th-27th, 2025, exhibited at Riyadh international convention and exhibition center.
We will attend the Big 5 exhibition, which will be hold during Feb 24th-27th, 2025, exhibited at Riyadh international convention and exhibition center.
Our booth No. is 6C117 in Hall 6.
We will take our advanced modified phenolic foam insulation board, aluminum foil faced phenolic foam board, felt cloth faced phenolic foam board, pf board from 20mm-250mm and other advanced products to the exhibition.
Welcome your visit and discuss the opportunity of the insulation material and building materials market and opportunity
Shengquan group are the drawee of many standards for the external wall application phenolic foam board and other green foam board.
We are also the council of the building energy save association and the China insulation association.
Market background
Global data shows that Saudi Arabia's construction output will grow at an average annual rate of 4% from 2023 to 2026. Under the Ministry of Housing's ESKAN project, the government plans to build 500,000 homes.
In order to achieve Saudi Arabia's "Vision 2030" and promote the diversification of Saudi Arabia's economy, the Saudi Sovereign Wealth Fund (PIF) launched five super-large project plans (collectively referred to as "giga" projects) a few years ago: the Future New City Project (NEOM), Qiddiya Entertainment City Project (Qiddiya), Red Sea Development Project (Red Sea), Roshn Housing Development Project (Roshn) and Diriyah Development Project (Diriyah). Among them, the NEOM project alone has a committed investment of US$500 billion.
In September 2021, the total amount of engineering contracts for the Giga project was only US$9 billion, but by 2022, the total contract amount in the same period reached US$26 billion, and almost doubled in September 2023.
As of 2023, the size of Saudi Arabia's infrastructure market has reached US$34.46 billion, and this figure is still rising. Experts predict that the market will continue to expand at a compound annual growth rate of 4.48% in the next five years, and is expected to reach US$42.89 billion by 2028. The construction industry is expected to contribute US$100 billion to Saudi Arabia's GDP by 2025. This will be a golden period for construction and engineering companies.
Materials and equipment are an indispensable part of infrastructure construction. From cement, steel to advanced construction machinery, Saudi Arabia's demand for construction materials is expected to grow at a compound annual growth rate of 5.2%.
In the next few years, Saudi Arabia will host many world-class events such as the 2030 World Expo, the 2027 Asian Cup, the 2029 Asian Winter Games, the 2034 Asian Games, and the 2034 World Cup. The construction of venues will undoubtedly bring more opportunities to the construction industry.
The latest "Global Construction Industry Monitor Report" released by the Royal Institution of Chartered Surveyors (RICS) shows that Saudi Arabia's construction industry activity index shows the strongest in the world. In the third quarter of 2023, Saudi Arabia's index was 69%, indicating that Saudi Arabia's large-scale construction industry projects will have a lasting impact.
Saudi Arabia is the largest project market in the Gulf region, both in terms of the development history of the regional economy and the valuation of future projects. Saudi Arabia's vast land area, large population and abundant oil and gas production also provide the most diverse market for all projects in the region, ensuring the diversity of the industry, and all walks of life have the opportunity to occupy a place in Saudi Arabia. It is for these reasons that Saudi Arabia has always been the most important and top priority market for most international companies. Saudi Arabia has more than $3.15 trillion in future projects underway, making it the largest market among all member states of the Gulf Cooperation Council. Based on currently known projects and estimates of future projects, Saudi Arabia's construction and transportation industries are valued at more than $900 billion. Arab News reported on February 6, 2023 that Saudi Arabia's Purchasing Managers' Index (PMI) climbed to 58.2 in January, the second highest since September 2021, and in November 2022, the index reached 58.5, the highest in the past 16 months. Nayef, chief economist of Riyadh Bank, said that Saudi Arabia's good economic performance has made Saudi Arabia the fastest growing country in the G20 group. Saudi Crown Prince Mohammed launched the National Industrial Strategy on October 18, 2022, to help diversify Saudi Arabia's economy by attracting investment to develop the non-oil economy. The Crown Prince said that Saudi Arabia has ambitious young talents, a superior geographical location, rich natural resources and industry-leading industrial companies, and has the ability to achieve a competitive and sustainable industrial economy. Through the national industrial strategy and in cooperation with the private sector, Saudi Arabia will become a leading industrial power that helps stabilize the global supply chain and export high-tech products to the world. The strategy focuses on 12 sub-sectors and will create more than 800 investment opportunities. It is planned that the number of factories will increase to 36,000 by 2035, the manufacturing GDP will triple by 2030, the value of industrial exports will increase to 557 billion riyals, and the total additional investment in the industry will increase to 1.3 trillion riyals.