Construction market trends

United States

X Values ABI (LHS) Output (RHS, %, y-o-y)
Jan-19 55.3 -1.54
Feb-19 50.3 -2.64
Mar-19 47.8 1.08
Apr-19 50.5 1.93
May-19 50.2 3.56
Jun-19 49.1 8.14
Jul-19 50.1 10.15
Aug-19 47.2 11.25
Sep-19 49.7 11.98
Oct-19 52 13.42
Nov-19 51.9 17.45
Dec-19 52.1 13.61
Jan-20 52.2 14.07
Feb-20 53.4 11.99
Mar-20 33.3 8.27
Apr-20 29.5 3.30
May-20 32 0.45
Jun-20 40 -0.66
Jul-20 40 -2.89
Aug-20 40 -6.80
Sep-20 47 -7.20
Oct-20 47.5 -7.37
Nov-20 46.3 -9.66
Dec-20 42.3 -8.71
Jan-21 44.9 -6.91
Feb-21 53.3 -7.50
Mar-21 55.6 -3.85
Apr-21 57.9 -1.17
May-21 58.5 -0.88
Jun-21 57.1 -0.57
Jul-21 54.6 0.67
Aug-21 55.6 2.24
Sep-21 56.6 2.81
Oct-21 54.3 3.34
Nov-21 51 7.40
Dec-21 52 7.47
Jan-22 51 7.16
Feb-22 51.3 9.06
Mar-22 58 7.51
Apr-22 56.5 11.1
May-22 53.5 11.5
Jun-22 53.2 10.7
Jul-22 51 12.6
Aug-22 53.3 13.4
Sep-22 51.7 13.5
Oct-22 47.7 12.9
Nov-22 46.6 13.6
Dec-22 48.4 15.5
Jan-23 49.3 20.2
Feb-23 48 20.9
Mar-23 50.4 21.3
Apr-23 48.5 22.2
May-23 51 23.2
Jun-23 50.1 21.8
Jul-23 50 21.4
Aug-23 48.1 23.4
Sep-23 44.8 23.4
Oct-23 44.3 23.5
Nov-23 45.3 23.4
Dec-23 45.4 21.8
Jan-24 46.2 15.2
Feb-24 49.5 12.6

Construction spending unexpectedly declined in February, with strength in single-family output more than offset by weakness in private non-residential and public outlays.

Private residential output up 0.7% m-o-m (6.3% y-o-y) in February; Building permits up 2.4% m-o-m (2.8% y-o-y).

Private non-residential output down -0.9% m-o-m (12.6% y-o-y) in February; Architecture Billings Index (ABI) up to 49.5 in February from 46.2 in January (< 50, contraction).

China

X Values Floor space started
Jan-19 17.91
Feb-19 13.08
Mar-19 10.69
Apr-19 13.08
May-19 11.15
Jun-19 9.12
Jul-19 6.61
Aug-19 6.95
Sep-19 6.05
Oct-19 11.01
Nov-19 8.02
Dec-19 8.26
Jan-20 -6.58
Feb-20 -17.65
Mar-20 -30.64
Apr-20 -18.42
May-20 -8.57
Jun-20 3.82
Jul-20 7.59
Aug-20 7.7
Sep-20 3.91
Oct-20 1.28
Nov-20 1.84
Dec-20 4.71
Jan-21 11.8
Feb-21 24.9
Mar-21 8.3
Apr-21 -5
May-21 -10.9
Jun-21 -6.1
Jul-21 -10
Aug-21 -13.1
Sep-21 -17.4
Oct-21 -21.2
Nov-21 -22.6
Dec-21 -28.6
Jan-22 -24.1
Feb-22 -23.1
Mar-22 -17.5
Apr-22 -28.9
May-22 -36
Jun-22 -43.8
Jul-22 -44.1
Aug-22 -45.3
Sep-22 -45.1
Oct-22 -42.1
Nov-22 -43.9
Dec-22 -43.8
Jan-23 -40.4
Feb-23 -27.45
Mar-23 -19.16
Apr-23 -24.24
May-23 -28.65
Jun-23 -29.59
Jul-23 -29.12
Aug-23 -27.70
Sep-23 -21.50
Oct-23 -19.70
Nov-23 -11.30
Dec-23 -9.90
Jan-24 -11.6
Feb-24 -23

Data released for January & February indicates that the sector is struggling to stabilise despite measures being ramped up to support the housing market.

The 3 month moving average y-o-y decline in floor space reached -23% in February; floor space sold was down -24% y-o-y.

Europe

X Values PMI (LHS) Output (RHS, %, y-o-y)
Jan-19 50.6 0.4
Feb-19 52.6 6.2
Mar-19 52.2 6.6
Apr-19 52.1 3.1
May-19 50.6 2.4
Jun-19 50.8 1.6
Jul-19 50.6 1.1
Aug-19 49.1 0.9
Sep-19 50.5 0.8
Oct-19 50.7 0.7
Nov-19 50.6 1.0
Dec-19 51.3 -0.9
Jan-20 51.9 4.7
Feb-20 52.5 -0.2
Mar-20 33.5 -15.4
Apr-20 15.1 -30.2
May-20 39.5 -10.8
Jun-20 48.3 -4.4
Jul-20 48.9 -3.4
Aug-20 47.8 -0.3
Sep-20 47.5 -2.7
Oct-20 44.9 -1.9
Nov-20 45.6 -0.8
Dec-20 45.5 -1.2
Jan-21 44.1 -4.6
Feb-21 45 -5.0
Mar-21 50.1 18.2
Apr-21 50.1 42.5
May-21 50.3 12.3
Jun-21 50.3 4.8
Jul-21 49.8 3.4
Aug-21 49.5 -0.4
Sep-21 50 3.3
Oct-21 51.2 3.9
Nov-21 53.3 2.5
Dec-21 52.9 -0.5
Jan-22 56.6 5.6
Feb-22 56.3 8.7
Mar-22 52.8 3.3
Apr-22 50.4 2.7
May-22 49.2 3.3
Jun-22 47 2.7
Jul-22 45.7 1.8
Aug-22 44.2 3.00
Sep-22 45.3 1.2
Oct-22 44.9 1.5
Nov-22 43.6 1.6
Dec-22 42.6 0.0
Jan-23 46.1 1.0
Feb-23 47.6 1.7
Mar-23 45 0.2
Apr-23 45.2 1.1
May-23 44.6 1.2
Jun-23 44.2 1.2
Jul-23 43.5 2.8
Aug-23 43.4 1.8
Sep-23 43.6 2.1
Oct-23 42.7 0.5
Nov-23 43.4 0.1
Dec-23 43.6 3.2
Jan-23 41.3 0.3
Feb-24 42.9
Mar-24 42.4

Construction activity remains lacklustre, with notable declines in the housing sector.

Eurozone construction up 0.5% m-o-m (0.3% y-o-y) in January; Buildings down -2.1% m-o-m (-3.1% y-o-y); Civil engineering up 1.0% m-o-m (2.8% y-o-y)
The IHS Markit Eurozone Construction PMI fell to 42.4 in March from 42.9 in February (< 50, contraction).

India

X Values Avg industrial production (y-o-y)
Jan-19 1.4
Feb-19 1.8
Mar-19 5.0
Apr-19 4.3
May-19 2.9
Jun-19 0.2
Jul-19 2.0
Aug-19 -0.7
Sep-19 -5.7
Oct-19 -5.4
Nov-19 0.3
Dec-19 0.9
Jan-20 1.4
Feb-20 5.1
Mar-20 -9.0
Apr-20 -44.4
May-20 -21.1
Jun-20 -12.1
Jul-20 -8.0
Aug-20 -7.5
Sep-20 -0.3
Oct-20 -1.8
Nov-20 -1.7
Dec-20 -0.3
Jan-21 0.7
Feb-21 -3.7
Mar-21 12.6
Apr-21 62.6
May-21 16.4
Jun-21 9.4
Jul-21 10.0
Aug-21 12.2
Sep-21 5.4
Oct-21 8.7
Nov-21 3.2
Dec-21 4.1
Jan-22 4.0
Feb-22 5.9
Mar-22 4.8
Apr-22 9.5
May-22 19.3
Jun-22 13.1
Jul-22 4.8
Aug-22 4.2
Sep-22 8.3
Oct-22 0.7
Nov-22 5.7
Dec-22 8.3
Jan-23 9.7
Feb-23 7.4
Mar-23 4.2
Apr-23 4.6
May-23 5.2
Jun-23 8.4
Jul-23 8.5
Aug-23 13.4
Sep-23 9.4
Oct-23 12.0
Nov-23 7.9
Dec-23 4.9
Jan-24 4.1
Feb-24 6.7

India’s core sector growth improved to a three-month high led by steel, electricity, and coal sectors.

Weighted average of eight core industries output rose by 6.7% y-o-y in February; production of steel up 8.4%, cement up 10.2% y-o-y.


 

Special topic

Steel: A necessity for growing requirements of sustainable infrastructure

Ashish Anupam, constructsteel’s Vice-Chair, underscores steel’s vital role in sustainable infrastructure growth, crucial for durable buildings and transport networks worldwide. Innovating production methods is key for sustainability, particularly in fast-developing nations like India, ensuring a reliable steel supply for future projects and fostering safer, smarter cities.

Technical trends

Reimagining engineering to deliver more projects, more efficiently.

In the face of pressing infrastructure needs for climate commitments, the engineering sector requires a tech-enabled operating model. With trillions of dollars needed for the energy transition, conventional approaches are falling short. Engineering talent shortages exacerbate delivery challenges, risking time, cost, and emissions targets. However, disruptive features driven by software engineering advancements are emerging. These include redefining the engineering “product” and embracing AI-enabled design automation. Transforming the traditional business model towards output-based compensation is crucial for sustainable competitive edge.

Construction news headlines

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