Companies active in the sector currently are less affected by the impact of the pandemic than firms active in other economic sectors.
“Over the past years, diversifying the range of products and of production, streamlining operational processes, diversifying the customer portfolio and marketing channels, along with developing strategic partners with customers and the geographic expansion countrywide, have been the main strategic pillars of development for the companies active on the building materials market,” says Szabolcs Nemes, Partner within the Roland Berger Bucharest office.
The impact of the COVID-19 pandemic on the short term was lower than in most of the other economic sectors, with an evolution similar or slightly lower in the second quarter of 2020 compared with the same period in 2019 (-5% to -10%), depending on the market segment).
On the medium term, the impact on the sector will depend especially on public financing programs (national and EU) for infrastructure, stimulated by public financing (European and national funds).
Projects on the segment of new buildings, mostly on the retail segment (offices, halls, retail space), probably see a slowdown and the residential building segment depends on potential incentive and support programs from authorities (programs of structural and thermal rehabilitation, crediting/subsidy programs etc.).
On the long term, the priorities strategic for building materials manufacturers target automation, digitalization, customized solutions, sustainability and an increase in production capacities.