This is a best prospect industry sector for this country. Includes a market overview and trade data.
Last Published: 7/31/2019

Overview

The construction industry has accounted for between five and eight percent of annual GDP for over a decade.  According to data compiled from building materials manufacturers, building construction continued to increase rapidly from 2006–2016, but slowed down dramatically in 2017. Construction output in North Macedonia increased by 12 percent January to November 2018.   The construction industry’s turnover was USD 513 million in 2017, compared to USD 577 million in 2016 (capital investments together with funds of the Public Enterprise for State Roads), almost 30 percent of which was spent on imported products, equipment, and fixtures.

Leading Sub-Sectors

Many major infrastructure projects are underway in North Macedonia to improve connections with trading partners and increase economic growth.  The World Bank and EBRD continue to finance building new transportation infrastructure, and North Macedonia is also investing in local roads.  For rail infrastructure, North Macedonia’s priority is to complete a rail link to Bulgaria and build one with Albania.  Residential building construction has also picked up in the last several years and is expected to continue in the coming period.  North Macedonia welcomes foreign construction companies that bring new technologies and know-how, and work with local firms as subcontractors. Companies interested investing in construction and infrastructure need to be aware  that North Macedonia is seismically active, especially in the capital of Skopje, and therefore has strict earthquake standards.

Opportunities

There are both export and investment opportunities available for U.S. companies in the construction and building materials sector.  Buildings in North Macedonia are energy inefficient and take a relatively long time to build.  New construction is required to meet strict seismic construction requirements, particularly in Skopje, the country’s most active seismic zone.  Wood and steel frame buildings are almost unknown, though builders in North Macedonia are examining American-style platform-frame wood construction and prefabricated housing.  This situation offers many opportunities to promote high-tech American building materials based on advanced U.S. technology.  U.S. building products that may have good market prospects include wood and vinyl windows, doors, flooring and kitchen cabinets, suspended ceilings, insulation, adhesives, cements, roofing shingles, heating and ventilation equipment, air conditioning, refrigeration, and cooling systems.  The domestic market in North Macedonia offers primarily cement, cement products, and gypsum products. 

Web Resources

Civil Engineering Institute
Agency for Real Estate Cadastre
 

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