With local projects representing 24 per cent of the entire GCC’s building construction activities, the UAE continues to rank among the region’s top construction markets. Contracts worth around $ 27 billion were awarded in 2010, with 2011 expected to see actual building construction spending hitting the $25 billion mark. The UAE’s construction sector is expected to further increase at a compound annual growth rate (CAGR) of 10 per cent to $21 billion in 2015.
Total active building projects across the UAE from 2010 to 2015 are expected to be worth around $102 billion. Most developments are being undertaken either in Abu Dhabi or Dubai, with the construction sector accounting for at least 10 per cent of the GDP of both emirates.
Similar to many other countries in the Gulf, the construction sector is elevating demand for aluminium and aluminium extruded products in the UAE. Demand for modern real estate projects is especially driving the aluminium trade, which is poised to post a 9 per cent CAGR from $555 million in 2010 to $ 838 million in 2015. Demand for aluminium extruded products will most likely grow at a CAGR of 9.7 per cent from 70,853 metric tonnes (MT) in 2010 to 122,445 MT in 2015; demand by volume for the same period is expected to swell from 3.5 million sqm to 5.3 million sqm in 2015.