Saudi Arabia GRC Cladding Market Trends

Market Trends of Saudi Arabia GRC Cladding Industry

Saudi Arabia's Construction Boom Fuels Surge in GRC Cladding Demand

• Saudi Arabia, the second-largest Arab state, is undergoing rapid development. As is common in developing nations, populations tend to gravitate towards urban centers with better employment prospects. Ar-Riyad, the capital and largest city of Saudi Arabia, boasts a population of around 7.82 Million as reported by Saudi Arabia (KSA) Population Statistics 2024 by Industry Associations.
• By 2024, revenues from building construction in Saudi Arabia are projected to hit approximately USD 28.7 billion. Since unveiling Vision 2030, its ambitious blueprint for economic diversification, the Kingdom has rolled out projects exceeding a staggering USD 1.25 trillion. With the government pushing initiatives like Vision 2023, which emphasizes smart city projects, and with Saudi Arabia leading globally in hotel supply growth — boasting a pipeline of 73,057 hotel rooms across various planning stages — the demand for GRC cladding is set to soar.
• Data from industry associations reveals a 41% surge in residential real estate transactions in Saudi Arabia during the first half of 2024. Highlighting this momentum, the National Housing Co reported selling over 13,000 units from January to June 2024 — a five-fold increase. Additionally, revenues from residential care activities in the Kingdom are projected to reach approximately USD 193 million by 2024. These developments are driving the adoption of GRC cladding, which is increasingly preferred for its durability, lightweight properties, and aesthetic appeal in modern construction projects.
• In conclusion, the growing construction activities, government initiatives, and rising real estate transactions in Saudi Arabia are significantly boosting the GRC cladding market. With the Kingdom's focus on urbanization and infrastructure development, the market is poised for substantial growth in the coming years.

Saudi Arabia's Hospitality Boom Fuels Surge in GRC Cladding Demand

• The Glass Reinforced Concrete (GRC) cladding market in Saudi Arabia is witnessing significant growth, driven by the rapid expansion of the hospitality sector. GRC cladding, known for its lightweight, durable, and versatile properties, is increasingly being adopted in large-scale construction projects to meet the aesthetic and structural demands of modern architecture. The hospitality sector, in particular, is emerging as a key driver for this market, with numerous high-profile developments underway. 
• Ennismore, teaming up with Tilal Real Estate Company, is poised to unveil the 25hours Hotel Heart of Khobar in 2028. Nestled within the Heart of Khobar mixed-use development, the hotel will boast 170 rooms, 80 serviced apartments, and distinctive design features, complemented by amenities like restaurants and the ‘analogue circus’ as reported by Hotelier on December 2024. This development is expected to drive the demand for GRC cladding in Saudi Arabia's hospitality sector, as developers seek durable and aesthetically appealing materials for construction.
• In a parallel move, Marriott International, Inc. inked a deal with Knowledge Economic City (KEC) to introduce three hotels in the Holy City of Madinah, Saudi Arabia. These hotels, part of the KEC master-development, will collectively offer over 1,200 rooms under Marriott's brands: Courtyard by Marriott, Four Points by Sheraton, and Residence Inn by Marriott as reported by Travel Daily News on December 2024. Such large-scale projects are anticipated to further boost the demand for GRC cladding, given its versatility and ability to meet the design and structural requirements of modern hospitality developments.
• As Saudi travelers increasingly gravitate towards unique and luxurious hotel experiences, there's a notable uptick in demand for upscale accommodations replete with premium amenities and services. Bolstered by rising tourism and robust infrastructure investments, Saudi Arabia's hotel market is on an upward trajectory. This growth directly correlates with the increasing adoption of GRC cladding, as it offers a sustainable and cost-effective solution for meeting the evolving architectural needs of the hospitality sector.
• In conclusion, the expanding hospitality sector in Saudi Arabia, driven by ambitious projects and rising tourism, is significantly propelling the growth of the GRC cladding market. Developers are increasingly relying on GRC cladding to achieve modern, durable, and visually appealing structures, ensuring the market's sustained growth in the coming years.