Turkish firms climb up in global top contractors list

Turkish firms climb up in global top contractors list

Turkish firms climb up in global top contractors list

The Turkish trade minister hailed the success of 44 Turkish construction companies that managed to enter the prestigious U.S. magazine Engineering News-Record’s (ENR) The Top 250 International Contractors list of 2019.

“With these figures, Turkey ranks second in terms of number of firms and seventh in terms of revenues in the ENR Top 250 list,” Ruhsar Pekcan said at an event organized by the Turkish Contractors Association (TMB/TCA) in Ankara on Aug. 25.

The number of Turkish firms in the ENR Top 100 list increased to nine in 2019 from seven in the previous year, she added.

“We undertook projects worth $19 billion in the construction sector last year despite trade wars and political uncertainties. We had aimed at passing $20 billion in 2020, however all the international projects have been adversely affected by the conditions caused by the COVID-19 outbreak. I believe that we will reach figures well over $20 billion in the post-pandemic period by joining forces,” said Pekcan.

Companies were ranked according to construction revenue generated outside of each company’s home country.

Rönesans Holding climbed up 10 ranks to become the 23rd in the list, which is a compilation of firms’ construction revenues announced annually by the Detroit-based company since 1874.

Operating in 28 countries, Rönesans had a global turnover of $5.4 billion last year. The holding’s total assets were estimated at $9 billion as of the end of 2019.

Turkish companies Limak and Tekfen ranked 61st and 65th in the list. Yapı Merkezi, Ant Yapı, TAV, Enka, MAPA and Kolin were other Turkish firms that made it to the top 100.

“As of today, the Turkish contracting industry has undertaken 10,274 projects worth $407 billion in 127 countries,” Pekcan also said, adding that projects worth $357 billion have been undertaken since 2002.

She pointed out that the contracting services abroad contribute to many sectors, especially logistics and goods exports, and stated that it helped many sub-sectors to expand.

“In the projects carried out by these companies, the rate of using Turkish goods is also increasing,” she said.

China was the champion country with 74 firms in the list, which also included 35 U.S. companies.

“We are making efforts to increase our 4.6 percent share of the global construction market to 7 percent in the medium term,” TMB chair Mithat Yenigün said.
Spanish company ACS, German company Hochtief and French company Vinci made the top three of the list. They were followed by Chinese firm CCC and French firm Bouygues.

The global contraction sector shrank 3 percent to $473.1 billion in 2019 due to “political upheavals, tariffs, trade wars and fluctuations in oil and metals prices hitting international contractors like a series of body blows,” ENR said.

“But now, the COVID-19 pandemic - and related plunge in oil prices from global shutdowns and price wars within OPEC - has put heavy pressure on large international contractors and their cli-ents as they try to cope with markets under siege,” it added.

Meanwhile, six Turkish companies entered the ENR Top 225 International Design Firms list. Those companies generated $2.5 billion in projects in 118 countries.