Builders reveal market trends in Ukraine during the war.

As reported by the engineering and construction company Rauta, the total losses in the industry amount to more than $150B, with the largest losses suffered by the housing sphere, including stock ($56B), infrastructure ($37B), and industry assets ($12B). In two years, about 15% of building material production capacity has been destroyed.

In the first year of the war, construction market volume decreased by approximately 65%. In 2023, there is a tendency toward increasing consumption of construction products and services. According to the results of the year, a growth of 25% is expected. The fastest growing segment of construction is now infrastructure reconstruction.

In 2022-2023, construction costs increased by 53%, which led to a similar increase in prices on the primary real estate market. The cost of construction will continue to rise. As a result of the war, there is a shortage of personnel in the industry, leading to an increase in wages, which will further increase the cost of construction, although the problem will remain.

Most investors are preparing for reconstruction and calculating the construction cost, but they are waiting for the end of hostilities to start new projects.