Prefabricated buildings market in Belgium

Earlier Report Observations

Between 2018 and 2020, the Belgian prefabricated buildings market grew from $719.2 million to $775.9 million. The initial increase in 2019 was facilitated by the 2018 update to the PEB guide, which removed air-tightness obligations for temporary prefabricated buildings, making them easier to market. Concurrently, a record rise in building permits in 2018 boosted demand for rapid construction solutions. In 2019, a shift toward renovation permits over new builds and the Flemish decree requiring energy upgrades for inefficient homes further stimulated demand for high-performance prefabricated modules. The market stabilized in 2020 despite a minor dip, as COVID-19 restrictions and labor shortages underscored the advantages of factory-produced buildings that could be assembled quickly on-site.

From 2021 onward, regulatory and market developments continued to shape the sector. The extension of PEB certificates to non-residential buildings opened new segments such as offices and schools for prefabrication. In 2022, industry confidence was highlighted by Etex's prediction that modular construction would reach 30% of the Belgian market by 2030, supported by overall construction growth exceeding 2%. The entry of new players became evident in 2023 when Skilpod raised €11 million to build a new factory, aiming to increase its annual production capacity fivefold. Simultaneously, the Brussels Parliament adopted an ordinance to phase out energy-inefficient buildings, tightening standards for prefabricated structures. By 2024, a new EU PEB directive set carbon neutrality targets for new buildings by 2030, while a reduced VAT rate of 6% for demolition-reconstruction projects encouraged the use of prefabricated modules for fast rebuilding.

Production prefabricated buildings in Belgium

In value, 2017-2020, M $ US

In 2020, Belgium's output of prefabricated buildings was valued at 918.4 million US dollars, remaining unchanged from 2019. Over the period from 2017 to 2020, production increased by 5.7%, with a compound annual growth rate of 1.9%. The lowest value was recorded in 2018 at 847.8 million US dollars, while the highest value occurred in 2019 at 921.5 million US dollars. The largest decline of 2.4% was observed in 2018, followed by the largest increase of 8.7% in 2019.

Annual dynamics of production in Belgium in value, 2017-2020, M $ US

Exports prefabricated buildings from Belgium

Exports in kind, t

In 2020, Belgium's exports of prefabricated buildings reached 83 039 tonnes, reflecting a slight decline of 2.9% compared to the previous year. From 2017 to 2020, exports increased by 5.3%, with a compound annual growth rate of 1.8%. The lowest value was recorded in 2018 at 71 032 tonnes, while the highest value was in 2019 at 85 511 tonnes. The largest decline of 9.9% occurred in 2018, followed by the largest increase of 20.4% in 2019.

Annual dynamics of product's exports from Belgium in kind, 2017-2020, t

From 2017 to 2020, France, the Netherlands, and Germany led the structure of exports in kind, accounting for 42.6%, 24.3%, and 11.4% of exports, respectively. Together, these three countries represented 78.3% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Belgium in kind, 2017-2020

Exports in value, M $ US

After two years of growth, Belgium's exports of prefabricated buildings declined in 2020, standing at 213.7 million US dollars, which is 3.1% less than in 2019. Between 2017 and 2020, exports increased by 6.9%, equating to an annualized rate of 2.2%. The highest value was recorded in 2019 at 220.5 million US dollars, with the largest increase of 6.6% also occurring that year.

Annual dynamics of product's exports from Belgium in value, 2017-2020, M $ US

From 2017 to 2020, France, the Netherlands, and Germany were the largest buyers of prefabricated buildings from Belgium in value terms, accounting for 40.1%, 21.8%, and 8.5% of exports, respectively. Together, these three countries formed 70.3% of total exports in value terms.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Belgium in value, 2017-2020

Imports prefabricated buildings to Belgium

Imports in kind, t

Belgium's imports of prefabricated buildings declined for the third consecutive year in 2020, totalling 22 628 tonnes, which represents an 18.6% year-over-year drop. Over the period from 2017 to 2020, imports decreased by 30%, with a compound annual growth rate of 11.2%.

Annual dynamics of product's imports to Belgium in kind, 2017-2020, t

Throughout 2017 to 2020, the three largest markets for imports in kind were the Netherlands, Austria, and Poland, which together accounted for 55.1% of total import flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Belgium in kind, 2017-2020

Imports in value, M $ US

Foreign supplies of prefabricated buildings to Belgium declined for the third consecutive year in 2020, reaching 71.2 million US dollars, corresponding to a measured loss of 8.9% compared to 2019. Between 2017 and 2020, imports decreased by 9.2%, equating to an annualized rate of 3.2%.

Annual dynamics of product's imports to Belgium in value, 2017-2020, M $ US

From 2017 to 2020, prefabricated buildings were supplied to Belgium from a broad set of markets. The Netherlands, Germany, and France accounted for 24.3%, 14.3%, and 9.3% of imports in value terms, respectively, together making up only 47.9% of total imports. Many smaller destinations formed the remaining 52.1%.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Belgium in value, 2017-2020