flexiblefullpage
billboard
interstitial1
catfish1
Currently Reading

What do Chengdu, Lagos, and Chicago have in common?

What do Chengdu, Lagos, and Chicago have in common?


By By Robert Cassidy, Editorial Director | April 5, 2011

They’re all “world middleweight cities” that are likely to become regional megacities (10 million people) by 2025—along with Dongguan, Guangzhou, Hangzhou, Shenzhen, Tianjin, and Wuhan (China); Kinshasa (Democratic Republic of the Congo); Jakarta (Indonesia); Lahore (Pakistan); and Chennai (India).

These “emerging middleweight” cities are among the “City 600,” the top 600 cities by contribution to global GDP growth from 2007 to 2005, as defined in a new report from McKinsey Global Institute: “Urban World: Mapping the economic power of cities”.

The 1.5 billion people who live in the City 600 (22% of world population) accounted for $30 trillion of GDP in 2007—more than half of global GDP. The top 100 alone generated $21 trillion, 38% of global GDP, according to McKinsey.

By 2025, these 600 cities will be home to 2.0 billion, a quarter of the world’s population, and account for $64 trillion, or 60% of global GDP.

The top 25 “hot spots” for GDP by 2025 include (in rank order) New York, Los Angeles, Chicago, Dallas, Washington, D.C., Houston, Philadelphia, Boston, and San Francisco, along with such places as São Paolo (Brazil), Rhein-Ruhr (Germany), Mexico City, Randstad (Netherlands), Shanghai, Beijing, and Hong Kong.

Other key findings of the McKinsey study:

• By 2025, the makeup of the City 600 will change as the center of gravity of the urban world moves south and east. One-third of developed market cities will no longer make the top 600.

• By 2025, up to 136 new cities will enter the City 600 list, all of them from the developing world—100 of them from China alone, including Haerbin, Shantou, and Guiyang.

• India will contribute 13 newcomers to the City 600 list, including Hyderabad and Surat. Latin America will add eight, notably Cancún (Mexico) and Barranquilla (Colombia).

• About 310 million more people of working-age population will live in the City 600 by 2025—almost 35% of the expansion of the global workforce, almost all of it in emerging markets and two-thirds in China and South Asia.

What do all these fascinating data points mean to the design and construction industry, and to you as an AEC professional? In a nutshell, the McKinsey people are saying, If you want to grow your business—and your career—over the next 15 years, you must look to foreign climes.

It is in the emerging cities that GDP will be growing at a faster rate than global GDP. Where the workforce will be expanding more quickly than in the rest of the world. Where demand for housing, retail shops, schools, libraries, museums, data centers, universities, office buildings, religious centers—all the magnificent structures you and your firms create and build—will be accelerating at a hyperfast rate compared to the growth, if any, in much of the developed world.

To be competitive in the coming decade and a half, AEC firms and professionals are going to have to shift their lines of sight eastward and southerly, to places with names like Luanda, Chongqing, Dhaka, Colombo, and Grande Vitória.

Related Stories

| Aug 14, 2013

Sluggish gains in architect compensation due to weakness in construction sector: AIA survey

U.S. architecture firms have experienced modest improvements in business conditions over the last two years that has resulted in very small gains in compensation levels for staffs. 

| Aug 14, 2013

Green Building Report [2013 Giants 300 Report]

Building Design+Construction's rankings of the nation's largest green design and construction firms. 

| Aug 13, 2013

DPR's Phoenix office, designed by SmithGroupJJR, affirmed as world's largest ILFI-certified net-zero facility

The new Phoenix Regional Office of DPR Construction, designed by SmithGroupJJR, has been officially certified as a Net Zero Energy Building by the International Living Future Institute (ILFI).  It’s the largest building in the world to achieve Net Zero Energy Building Certification through the Institute to date.

| Aug 8, 2013

Energy research animates science sector [2013 Giants 300 Report]

After an era of biology-oriented spending—largely driven by Big Pharma and government concerns about bioterrorism—climate change is reshaping priorities in science and technology construction.

| Aug 8, 2013

Top Science and Technology Sector Engineering Firms [2013 Giants 300 Report]

Affiliated Engineers, Middough, URS top Building Design+Construction's 2013 ranking of the largest science and technology sector engineering and engineering/architecture firms in the U.S.

| Aug 8, 2013

Top Science and Technology Sector Architecture Firms [2013 Giants 300 Report]

HDR, Perkins+Will, HOK top Building Design+Construction's 2013 ranking of the largest science and technology sector architecture and architecture/engineering firms in the U.S.

| Aug 8, 2013

Top Science and Technology Sector Construction Firms [2013 Giants 300 Report]

Skanska, DPR, Suffolk top Building Design+Construction's 2013 ranking of the largest science and technology sector contractors and construction management firms in the U.S.

| Aug 8, 2013

Level of Development: Will a new standard bring clarity to BIM model detail?

The newly released LOD Specification document allows Building Teams to understand exactly what’s in the BIM model they’re being handed.

| Aug 8, 2013

Vertegy spins off to form independent green consultancy

St. Louis-based Vertegy has announced the formation of Vertegy, LLC, transitioning into an independent company separate from the Alberici Enterprise. The new company was officially unveiled Aug. 1, 2013

boombox1
boombox2
native1

More In Category


Museums

UT Dallas opens Morphosis-designed Crow Museum of Asian Art

In Richardson, Tex., the University of Texas at Dallas has opened a second location for the Crow Museum of Asian Art—the first of multiple buildings that will be part of a 12-acre cultural district. When completed, the arts and performance complex, called the Edith and Peter O’Donnell Jr. Athenaeum, will include two museums, a performance hall and music building, a grand plaza, and a dedicated parking structure on the Richardson campus.



halfpage1

Most Popular Content

  1. 2021 Giants 400 Report
  2. Top 150 Architecture Firms for 2019
  3. 13 projects that represent the future of affordable housing
  4. Sagrada Familia completion date pushed back due to coronavirus
  5. Top 160 Architecture Firms 2021