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Infrastructure (Economics)

Peru Construction Market to Expand by 3.8% in 2025, Driven by Private Investments and Public Spending

Strategic Insights

— 2 min read

Peru's construction industry is poised for significant growth in 2025, with a 3.8% expansion in real terms, fueled by private investments in the mining sector, public spending in energy infrastructure, and increased revenue from copper and gold exports. The country's copper output is expected to rise to 2.8 million metric tons in 2025, up from 2.7 million tons produced in 2024. Furthermore, the government is evaluating the authorization of 134 new mining exploration and exploitation projects, worth PEN22.7 billion ($6 billion). Additionally, Peru's gross fixed capital formation in construction grew by 5% in H1 2025, and the construction industry's value-add increased by 5.2% in the same period.

Key Takeaways:

  • The Peru construction industry is expected to expand by 3.8% in real terms in 2025, supported by private investments in the mining sector, public spending in energy infrastructure, and increased revenue from copper and gold exports.
  • Copper output in Peru is expected to rise to 2.8 million metric tons in 2025, up from 2.7 million tons produced in 2024.
  • The government is evaluating the authorization of 134 new mining exploration and exploitation projects, worth PEN22.7 billion ($6 billion).
  • Peru's gross fixed capital formation in construction grew by 5% in H1 2025.
  • The construction industry's value-add increased by 5.2% in H1 2025.
  • The government's 2025 Budget allocation for construction projects totals PEN251.8 billion ($66.5 billion), an increase of 4.5% compared to the 2024 Budget allocation.
  • Over the remainder of the forecast period, the construction industry is expected to record average annual growth of 3.6% between 2026 and 2029.
  • Peru's Ministry of Energy and Mines (MINEM) plans to add 2.5GW of solar energy by the end of 2028 to increase the country's solar capacity.
  • The state government of Arequipa allocated 160ha land in the port city of Matarani to Verano Energy for the production of green and blue hydrogen as part of the PEN42.4 billion ($11.2 billion) Horizonte de Verano project.

Statistics:

  • 3.8%: the expected growth rate of the Peru construction industry in 2025.
  • 2.8 million metric tons: the expected copper output in Peru in 2025.
  • 2.7 million metric tons: the copper output in Peru in 2024.
  • PEN22.7 billion ($6 billion): the estimated value of the 134 new mining exploration and exploitation projects.
  • 5%: the growth rate of Peru's gross fixed capital formation in construction in H1 2025.
  • 5.2%: the growth rate of the construction industry's value-add in H1 2025.
  • PEN251.8 billion ($66.5 billion): the total allocation for construction projects in the 2025 Budget.
  • 3.6%: the average annual growth rate of the construction industry between 2026 and 2029.
  • 2.5GW: the planned addition of solar energy by the end of 2028.
  • 160ha: the land allocated for the production of green and blue hydrogen.
  • PEN42.4 billion ($11.2 billion): the estimated cost of the Horizonte de Verano project.

Sources:

  • "Peru Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2029 (H2 2025)" report.
  • Peru's Ministry of Energy and Mines (MINEM).
  • The state government of Arequipa.
  • ResearchAndMarkets.com.

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