KPMG on Russia’s road infrastructure market prospects

Research by KPMG has revealed that the Russian road infrastructure market is growing by an average ten per cent per year. The market may total US$43.62 billion by 2020, compared with US$9.9 billion in 2007. According to analysts, only large federal road construction companies are able to achieve the highest profitability. However, such companies will have to reduce costs because contracts are becoming bigger and more complex and include construction of artificial structures, for example. Consolidation of co
December 5, 2013 Read time: 1 min
Research by 1981 KPMG has revealed that the Russian road infrastructure market is growing by an average ten per cent per year. The market may total US$43.62 billion by 2020, compared with US$9.9 billion in 2007. According to analysts, only large federal road construction companies are able to achieve the highest profitability. However, such companies will have to reduce costs because contracts are becoming bigger and more complex and include construction of artificial structures, for example. Consolidation of companies by means of mergers and acquisitions in order to expand geographic reach or to boost a market share is one of the main trends of the market.

According to KPMG, an average road construction tender value amounted to US$90 billion in 2012 against US$81 billion in 2011.

For more information on companies in this article

Related Content

  • Moscow summit urges transit change
    June 11, 2019
    Moscow summit urges transit change
    Read More
  • Future EV owners can make money from the power grid
    May 17, 2012
    In what is being claimed as a landmark research report published by Ricardo and National Grid in the UK, the market potential is demonstrated for an electric plug-in vehicle fleet of the future to provide balancing services to the power grid on a commercial basis, returning value to vehicle owners while improving the carbon efficiency of grid operation.
    Read More
  • Europe’s EasyWay project accommodates political requirements
    May 29, 2013
    The EasyWay project has evolved to take account of political developments at the European level. By Jason Barnes The European Union’s (EU’s) EasyWay ITS deployment project has its roots in the ambitions of former European Commission President Jacques Delors with regard to truly international networks for energy, information and for transport. Definition of what became known as the Trans-European Transport Network (TEN-T) began back in 1994 with seven working groups. They produced an R&D and policy framework
    Read More
  • Australia's ground breaking average speed enforcement
    February 1, 2012
    The speed enforcement system on the Hume Highway in Australia combines both spot and point-to-point solutions. Here, Redflex's Peter Whyte discusses its implementation. The Australian State of Victoria has achieved notable success in reducing casualty rates since launching a three-pronged road accident prevention initiative in the late-1980s.
    Read More

Highlighted Content