While navigating a modest contraction in 2023, the French construction industry stands as a formidable €361 billion economic powerhouse, fueled by robust residential and infrastructure investment and poised for steady growth towards a €420 billion market by 2028.
Key Takeaways
- In 2022, the French construction industry's total turnover reached €361 billion, marking a 4.2% increase from 2021 driven by residential and infrastructure projects.
- The construction sector accounted for 5.5% of France's GDP in 2023, with a value added of €148.2 billion.
- Between 2018 and 2022, annual growth in construction output averaged 2.8%, peaking at 6.1% in 2021 due to post-COVID recovery.
- In 2022, France's construction workforce totaled 1,482,000 direct employees, representing 5.4% of total employment.
- Construction unemployment rate was 7.2% in 2023, above national average of 7.4%.
- 38% of construction workers were aged over 50 in 2022, highlighting aging workforce.
- In 2022, 278,000 residential building permits were issued in France.
- Total surface area authorized for housing construction was 390,000 m² in 2023.
- New non-residential building permits numbered 12,500 in 2022.
- Average construction cost per m² for housing was €2,100 in 2023.
- Material costs in construction rose 12.5% in 2022.
- Labor costs per hour in construction averaged €32.50 in 2023.
- Carbon emissions from construction totaled 45 MtCO2eq in 2022, 10% of national total.
- 28% of construction waste recycled in France 2023.
- Low-carbon buildings represented 15% of new starts in 2022.
France's construction industry grew strongly in 2022 driven by residential and infrastructure projects.
Building Permits & Projects
1In 2022, 278,000 residential building permits were issued in France.
Verified2Total surface area authorized for housing construction was 390,000 m² in 2023.
Verified3New non-residential building permits numbered 12,500 in 2022.
Verified4Housing starts reached 260,000 units in 2023, down 5% from 2022.
Directional5Infrastructure project pipeline valued at €150 billion for 2023-2030.
Single source645,000 permits for individual houses issued in Q1-Q3 2023.
Verified7Commercial building completions totaled 1.2 million m² in 2022.
Verified8Renovation permits represented 55% of total authorizations in 2023.
Verified9Grand Paris Express projects include 68 new stations by 2030.
Directional10112,000 social housing units started in 2022.
Single source11Energy renovation projects authorized: 1.2 million in 2023.
Verified12New office space permits: 800,000 m² in 2022.
Verified13Logistics warehouse permits covered 2.5 million m² in 2023.
Verified14Hospital construction projects: 25 major sites active in 2022.
Directional15Collective housing permits: 95,000 units in 2023.
Single source16Road infrastructure permits for 1,200 km new lanes in 2023-2025.
Verified17School building permits: 450 projects funded in 2022.
Verified18Data center construction permits: 15 new facilities in 2023.
Verified19Wind farm construction: 2 GW capacity permitted in 2022.
Directional20Hotel construction starts: 18,000 rooms in 2023.
Single source21Retail space permits: 650,000 m² authorized in 2022.
Verified22Stadium renovations: 12 major projects underway in 2023.
Verified23Underground parking permits for 50,000 spaces in 2022.
Verified24University campus expansions: 20 sites permitted in 2023.
DirectionalBuilding Permits & Projects Interpretation
France's construction industry is thoroughly renovating its own character, where over half of all permits now focus on improving what already exists, yet it still manages to simultaneously lay the literal and figurative foundations for everything from massive infrastructure and a housing surge to new warehouses and wind farms.
Costs & Prices
1Average construction cost per m² for housing was €2,100 in 2023.
Verified2Material costs in construction rose 12.5% in 2022.
Verified3Labor costs per hour in construction averaged €32.50 in 2023.
Verified4Steel prices for construction increased 18% to €1,200/tonne in 2022.
Directional5Cement production cost rose to €120/tonne in 2023.
Single source6Residential building cost index up 4.8% in 2023 (base 2015=100).
Verified7Energy costs for construction sites surged 25% in 2022.
Verified8Tender price inflation for new builds was 5.2% in 2023.
Verified9Wood prices per m³ increased 15% to €650 in 2022.
Directional10Electrical installation costs per m²: €180 in 2023.
Single source11Asphalt price for roads hit €90/tonne in 2023.
Verified12Overall construction cost index reached 128.5 in 2023 (2010=100).
Verified13Plumbing costs averaged €45,000 per housing unit in 2022.
Verified14Glass and insulation material costs up 10% to €25/m² in 2023.
Directional15Heavy equipment rental rates rose 8% to €150/hour in 2022.
Single source16Non-residential cost per m²: €2,800 in Paris region 2023.
Verified17MaPrimeRénov' subsidies covered €3.2 billion in renovation costs 2023.
Verified18Transport costs for materials increased 11% in 2022.
Verified19HVAC system costs: €120/m² for new offices in 2023.
Directional20Demolition costs per m² averaged €150 in urban areas 2022.
Single source21Paint and finishing costs rose to €35/m² in 2023.
Verified22Crane rental daily rate: €1,200 for 50m boom in 2022.
Verified23Roofing costs per m²: €220 for slate in 2023.
Verified24Land acquisition costs for housing: €450/m² average 2023.
DirectionalCosts & Prices Interpretation
The French construction industry is currently building castles in the air, only to find the air, along with everything else—materials, labor, and even the cranes to lift them—has become alarmingly expensive.
Employment & Workforce
1In 2022, France's construction workforce totaled 1,482,000 direct employees, representing 5.4% of total employment.
Verified2Construction unemployment rate was 7.2% in 2023, above national average of 7.4%.
Verified338% of construction workers were aged over 50 in 2022, highlighting aging workforce.
Verified4Women represented 12.5% of the construction sector workforce in 2023.
Directional5Average annual salary in construction was €38,500 in 2022.
Single source6285,000 self-employed workers operated in construction in 2023.
Verified7Apprentice numbers in construction reached 52,000 in 2022, up 5%.
Verified8Labor shortages affected 65% of construction firms in 2023 survey.
Verified9Temporary workers made up 18% of construction employment in 2022.
Directional1042% of workers had vocational training qualifications in 2023.
Single source11Construction employment grew 1.2% to 1.51 million in 2023.
Verified12Foreign workers comprised 15.3% of construction labor force in 2022.
Verified13Overtime hours in construction averaged 120 per worker annually in 2023.
Verified1422,000 new jobs created in construction in 2022 net.
Directional15Managers represented 8.7% of workforce, totaling 130,000 in 2023.
Single source16Absenteeism rate in construction was 6.8% in 2022.
Verified1775% of firms reported recruitment difficulties for skilled trades in 2023.
Verified18Youth under 25 made up 9.2% of construction employees in 2022.
Verified19Average workweek in construction was 36.8 hours in 2023.
Directional20310,000 intermittent workers active in construction in 2022.
Single source21Wage growth in construction was 3.4% in 2023.
Verified2214% of workforce in executive roles, up from 12% in 2019.
Verified23Training hours per employee averaged 28 in construction 2022.
Verified24Construction job vacancy rate was 4.2% in Q3 2023.
Directional25Plumbers and electricians shortages hit 45,000 positions unfilled in 2023.
Single source26Part-time employment was 4.5% in construction in 2022.
VerifiedEmployment & Workforce Interpretation
France's construction sector is propping up the economy while internally creaking with an aging, predominantly male workforce, a desperate thirst for skilled younger recruits, and a heavy reliance on the self-employed and temporary labor—all while managing to offer slightly better job security than the national average and just enough wage growth to keep the hard hats from rolling into the streets.
Market Size & Growth
1In 2022, the French construction industry's total turnover reached €361 billion, marking a 4.2% increase from 2021 driven by residential and infrastructure projects.
Verified2The construction sector accounted for 5.5% of France's GDP in 2023, with a value added of €148.2 billion.
Verified3Between 2018 and 2022, annual growth in construction output averaged 2.8%, peaking at 6.1% in 2021 due to post-COVID recovery.
Verified4In Q4 2023, construction production index stood at 105.3 (2015=100), up 1.5% year-over-year.
Directional5The market size of new residential construction in France was valued at €78.4 billion in 2022.
Single source6Infrastructure construction segment grew by 3.7% in 2023, reaching €45.6 billion in turnover.
Verified7Overall construction investment in France hit €390 billion in 2022, including public and private spending.
Verified8Non-residential building construction turnover increased 5.1% to €92.3 billion in 2022.
Verified9Civil engineering works contributed €68.7 billion to the sector's turnover in 2023, up 2.9%.
Directional10The French construction market is projected to grow at a CAGR of 2.4% from 2023 to 2028, reaching €420 billion.
Single source11In 2023, building construction represented 72% of total sector turnover at €265 billion.
Verified12Renovation works accounted for 45% of construction activity value in 2022, totaling €162 billion.
Verified13Public construction spending rose to €85.4 billion in 2023, a 4.8% increase from prior year.
Verified14Private investment in construction reached €304 billion in 2022, dominating sector growth.
Directional15Construction output in new work grew 3.2% in 2023 to €210 billion.
Single source16The sector's value added per employee averaged €95,000 in 2022.
Verified17Export of construction services from France totaled €12.3 billion in 2022.
Verified18Digital construction market within France valued at €4.5 billion in 2023.
Verified19Housing construction turnover was €128 billion in 2022, 35% of total sector.
Directional20Commercial real estate construction hit €28.6 billion in 2023.
Single source21Industrial construction segment turnover reached €15.2 billion in 2022, up 6%.
Verified22The French construction PMI averaged 48.2 in 2023, indicating contraction.
Verified23Total fixed capital investment in construction was €42 billion in 2022.
Verified24Sector productivity grew 1.8% annually from 2019-2023.
Directional25Construction R&D spending amounted to €2.1 billion in 2022, 0.6% of turnover.
Single source26In 2023, the sector's gross operating surplus was €56.7 billion.
Verified27New orders in construction rose 2.1% to €380 billion in 2022.
Verified28The market for modular construction in France was €3.8 billion in 2023.
Verified29Office construction turnover declined to €18.4 billion in 2023.
Directional30Logistics construction boomed to €12.7 billion in 2022.
Single sourceMarket Size & Growth Interpretation
Despite the French construction sector's impressive €361 billion turnover and projected growth to €420 billion, its 2023 PMI of 48.2 quietly confesses that this economic powerhouse is building on a foundation of both booming renovation and a slightly contracting future.
Sustainability & Innovation
1Carbon emissions from construction totaled 45 MtCO2eq in 2022, 10% of national total.
Verified228% of construction waste recycled in France 2023.
Verified3Low-carbon buildings represented 15% of new starts in 2022.
Verified4Energy consumption in construction sector: 18% of national total in 2023.
Directional565,000 RE2020 compliant housing units certified in 2023.
Single source6Timber construction market grew to €12 billion in 2022.
Verified7BIM adoption rate reached 72% in large firms by 2023.
Verified8Water usage in construction sites: 150 liters/m² average 2022.
Verified9Green building certifications (HQE/BREEAM): 2,500 projects in 2023.
Directional10Solar panel installations on new builds: 25% coverage in 2022.
Single source11Prefabricated low-energy homes: 45,000 units produced 2023.
Verified12Construction sector's renewable energy share: 22% in 2022.
Verified13Waste production: 45 million tonnes from construction in 2023.
Verified14Passivhaus standard projects: 1,200 certified in France by 2022.
Directional15Green public procurement in construction: €20 billion in 2023.
Single source16Modular sustainable construction: 10% market share in 2022.
Verified17CO2 reduction target met: 24% drop since 1990 in sector.
Verified18Electric vehicle charging infrastructure: 50,000 points built 2023.
Verified19Cradle-to-grave LCA applied in 35% of projects 2022.
Directional20Biodiverse green roofs: 1.5 million m² installed in 2023.
Single source21Zero-waste sites certification: 500 construction sites in 2022.
Verified22Heat pump installations in renovations: 450,000 units 2023.
Verified23Digital twins used in 40% of infrastructure projects 2023.
Verified24Recycled aggregates usage: 28% of total in 2022.
DirectionalSustainability & Innovation Interpretation
France's construction sector is a study in ambitious contradictions: while it proudly boasts a 24% drop in CO2 since 1990 and a burgeoning €12 billion timber market, it still coughs out 10% of the nation's emissions and generates a mountainous 45 million tonnes of waste, proving that building a sustainable future is a messy, ongoing renovation project.
Sources & References
- Reference 1INSEEinsee.frVisit source
- Reference 2BANQUEDESTERRITOIRESbanquedesterritoires.frVisit source
- Reference 3ECec.europa.euVisit source
- Reference 4STATISTAstatista.comVisit source
- Reference 5FIBOISfibois.frVisit source
- Reference 6CAISSE-DESDEPOTScaisse-desdepots.frVisit source
- Reference 7LAFINANCEPOURTOUSlafinancepourtous.comVisit source
- Reference 8OXFORDECONOMICSoxfordeconomics.comVisit source
- Reference 9QUALITELqualitel.orgVisit source
- Reference 10PERSEEpersee.frVisit source
- Reference 11DARESdares.travail-emploi.gouv.frVisit source
- Reference 12DOUANEdouane.gouv.frVisit source
- Reference 13SYNTEC-INGENIERIEsyntec-ingenierie.frVisit source
- Reference 14BPIFRANCEbpifrance.frVisit source
- Reference 15IMMOBILIER-DANGERimmobilier-danger.comVisit source
- Reference 16USINENOUVELLEusinenouvelle.comVisit source
- Reference 17PMIpmi.spglobal.comVisit source
- Reference 18CAIRNcairn.infoVisit source
- Reference 19CGEDDcgedd.developpement-durable.gouv.frVisit source
- Reference 20CONSTRUIRESconstruires.frVisit source
- Reference 21CUSHMANWAKEFIELDcushmanwakefield.comVisit source
- Reference 22JLLjll.frVisit source
- Reference 23FFBffb.frVisit source
- Reference 24TRAVAIL-EMPLOItravail-emploi.gouv.frVisit source
- Reference 25URSSAFurssaf.frVisit source
- Reference 26EDUCATIONeducation.gouv.frVisit source
- Reference 27BATIACTUbatiactu.comVisit source
- Reference 28CENTRE-INFFOcentre-inffo.frVisit source
- Reference 29IMMIGRATIONimmigration.interieur.gouv.frVisit source
- Reference 30DA-RESda-res.frVisit source
- Reference 31LESECHOSlesechos.frVisit source
- Reference 32APECapec.frVisit source
- Reference 33ANACTanact.frVisit source
- Reference 34BTP-CONSEILSbtp-conseils.frVisit source
- Reference 35UNEDICunedic.orgVisit source
- Reference 36CCIcci.frVisit source
- Reference 37GOUVERNEMENTgouvernement.frVisit source
- Reference 38SERVICE-PUBLICservice-public.frVisit source
- Reference 39ANILanil.orgVisit source
- Reference 40SOCIETEDUGRANDPARISsocietedugrandparis.frVisit source
- Reference 41UNION-HABITATunion-habitat.orgVisit source
- Reference 42ECOLOGIEecologie.gouv.frVisit source
- Reference 43PROLOGISprologis.frVisit source
- Reference 44SANTEsante.gouv.frVisit source
- Reference 45DATACENTERDYNAMICSdatacenterdynamics.comVisit source
- Reference 46RTE-FRANCErte-france.comVisit source
- Reference 47MKHOTELSmkhotels.frVisit source
- Reference 48COLLIERScolliers.comVisit source
- Reference 49SPORTSsports.gouv.frVisit source
- Reference 50PARISparis.frVisit source
- Reference 51ENSEIGNEMENTSUP-RECHERCHEenseignementsup-recherche.gouv.frVisit source
- Reference 52BANQUE-FRANCEbanque-france.frVisit source
- Reference 53VICATvicat.frVisit source
- Reference 54RICSrics.orgVisit source
- Reference 55FNBfnb.frVisit source
- Reference 56QUALIFELECqualifelec.frVisit source
- Reference 57COLAScolas.comVisit source
- Reference 58CNA-PLOMBERIEcna-plomberie.frVisit source
- Reference 59SAINT-GOBAINsaint-gobain.frVisit source
- Reference 60GILBERTgilbert.frVisit source
- Reference 61ARTELIAGROUParteliagroup.comVisit source
- Reference 62FNTRfntr.frVisit source
- Reference 63CIBSEcibse.orgVisit source
- Reference 64LIXISBAUlixisbau.frVisit source
- Reference 65LEFEBVRE-SARRUTlefebvre-sarrut.frVisit source
- Reference 66MANITOU-GROUPmanitou-group.comVisit source
- Reference 67CAPEBcapeb.frVisit source
- Reference 68NOTAIRESnotaires.frVisit source
- Reference 69STATISTIQUESstatistiques.developpement-durable.gouv.frVisit source
- Reference 70ADEMEademe.frVisit source
- Reference 71IEAiea.orgVisit source
- Reference 72EAUFRANCEeaufrance.frVisit source
- Reference 73CERTIVEAcertivea.frVisit source
- Reference 74HELIOS-ENERGIEShelios-energies.frVisit source
- Reference 75USMBusmb.frVisit source
- Reference 76PASSIVEHOUSE-FRANCEpassivehouse-france.orgVisit source
- Reference 77ECONOMIEeconomie.gouv.frVisit source
- Reference 78CLIMATECHANGEclimatechange.gouv.frVisit source
- Reference 79IZIVIAizivia.comVisit source
- Reference 80AFNORafnor.orgVisit source
- Reference 81VEGETALISATION-DURABLEvegetalisation-durable.frVisit source
- Reference 82QUALIT-ENRqualit-enr.orgVisit source
- Reference 83BUREAU-VERITASbureau-veritas.frVisit source
- Reference 84UNPGunpg.frVisit source