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Prefabricated Housing

Admin September 17, 2026

Prefabricated housing is a construction method that involves prefabricating modules in a factory and assembling them on-site. It offers advantages such as short construction periods, controllable quality, energy efficiency, environmental protection, and lower lifecycle costs, making it widely used in both domestic and international markets.

Construction Process and Characteristics

Prefabricated housing divides a building into independent modules, which are prefabricated and inspected in a factory, including architecture, structure, electromechanical systems, and decoration, and then transported to the site for assembly. The construction process is similar to "building with blocks," with ceilings, floors, plumbing, and electrical systems all completed on the factory assembly line, requiring only assembly on-site. Compared to traditional construction methods, prefabricated housing can significantly shorten construction periods (e.g., reducing the construction period of a Shenzhen affordable housing project from 2.5-3 years to 1 year), reduce on-site labor requirements (by about 50%), and minimize noise, dust, construction waste, and traffic congestion that disturb residents.

Forms and Suitable Scenarios

Prefabricated housing mainly comes in three forms:

  1. Steel Structure: Lightweight and strong, suitable for overseas transportation and high-rise buildings, making it the primary type for export.
  2. Concrete Structure: Closer to traditional living experiences, with high acceptance in the domestic market, often used in residential projects.
  3. Wooden Structure: Environmentally friendly but less commonly used, mostly for specific scenarios. Chinese companies have comparative advantages in steel and concrete structures. Steel modules can be quickly assembled into high-rise buildings, while concrete modules meet domestic demands for traditional residential forms.

Cost and Economic Efficiency

In terms of initial construction costs, prefabricated housing is 10%-30% higher than brick-and-mortar structures but offers lower lifecycle costs. Its advantages include:

  • Reduced capital occupation costs due to shorter construction periods;
  • Lower labor costs due to reduced on-site labor requirements;
  • Easier maintenance and renovation due to modular design;
  • Increased residual value due to recyclable materials. For example, the Shenzhen affordable housing project achieved significant savings in hidden costs through prefabricated construction, demonstrating substantial comprehensive benefits.

Market Applications and Export Trends

Prefabricated buildings have gained popularity in overseas markets, favored by overseas customers for their price and construction period advantages. For example:

  • A British merchant purchased modular elderly care apartments, with 63 modules assembled on-site in two weeks;
  • 84 modules were used to build a fully functional hotel in Papua New Guinea. Customs data shows that China's prefabricated building exports nearly tripled from 2015 to 2025, with a 45% growth rate in the first quarter of 2026, indicating sustained enhancement of its international competitiveness.