Industry News




11/17/2011

ABC: A Slow Construction Year Forecast for 2012

 
Slow-Construction-2012

Associated Builders and Contractors (ABC) has released its 2012 economic forecast for the U.S. commercial and industrial construction industry.  No surprise here – the forecast looks slow. ABC Chief Economist Anirban Basu examines the situation:

"Nonresidential construction spending is expected to grow 2.4% in 2012 following a 2.4% decrease in 2011," Basu says. "The pace of recovery in the nation's nonresidential construction industry remains soft and 2012 is positioned to be a year of slow gain. The first half of 2012 may be particularly challenging, a reflection of the soft patch in economic activity experienced during much of the first half of 2011.”

Basu claims the direction of the dollar will also have a significant impact on how things play out for the industry in 2012, "The direction of the U.S. dollar will play a major role in determining construction input prices in 2012. However, the dollar's direction is far from obvious.  Although the nation continues to run a large trade deficit, which implies further deterioration in the value of the dollar over time, investors often race to dollar-denominated assets during times of global financial stress. We are in one of those times now, which could keep the dollar inflated in 2012. While this would create a more challenging environment for U.S. exporters, it would likely result in lower construction materials prices."

What segments are the ones to watch in 2012?  Basu explains that there are a few opportunities even in the slow environment.

"However, certain segments are better poised for growth than others. Leading the way in recent months has been construction related to the nation's power industry, which ABC projects to expand 11.4% during the course of 2011," says Basu. "The driving force for the United States appears to be in energy, and the growth of this economic segment has been evident in a number of states, including Texas, Oklahoma, North Dakota and Pennsylvania. ABC expects power construction to continue to lead the way with a projected 9% increase in spending in 2012.”

"Health care represents another likely candidate for economic expansion. This is true for a number of reasons, including thawing credit markets, the nation's demographics and health care reform, which will continue to increase the number of Americans with insurance and therefore enhance utilization," Basu says. "Because of this, ABC projects health care construction spending to increase by 8% in 2012.

 


Visit our website today to learn about the design flexibility of a Morton building and the endless possibilities of partnering with our designBUILD team.


Wood construction is both cost and energy efficient. Check out Morton Buildings and our designBUILD team online today to discover all the benefits of post-frame construction.

When choosing a metal-clad building for your next construction project, consider Morton Buildings, Inc., and their designBUILD team, we’ll make your dream a reality. 

We Can Help You Reduce Energy by 30%

Our mission is to help our customers manage their buildings' energy costs, improve reliability, and enhance performance while having a positive impact on the environment.
CLICK HERE to find out how.


Visit our website today to learn about the design flexibility of a Morton building and the endless possibilities of partnering with our designBUILD team.


Wood construction is both cost and energy efficient. Check out Morton Buildings and our designBUILD team online today to discover all the benefits of post-frame construction.

When choosing a metal-clad building for your next construction project, consider Morton Buildings, Inc., and their designBUILD team, we’ll make your dream a reality. 

We Can Help You Reduce Energy by 30%

Our mission is to help our customers manage their buildings' energy costs, improve reliability, and enhance performance while having a positive impact on the environment.
CLICK HERE to find out how.


 
comments powered by Disqus
07/02/2015

Sustainable parking leaders recognized.

07/01/2015

Design ‘scatters’ sound without affecting aerodynamics.

06/30/2015

Survey shows lack of concrete commitment to efficiency improvements.

06/29/2015

Guideline will protect building water systems.

06/26/2015

Development could mitigate urban heat island effect.

06/25/2015

New web application can identify energy savings opportunities.

06/24/2015

Report shows refrigerants could reduce GHG emissions, energy use.

06/23/2015

Sustainable design tied to strong financial performance.

06/22/2015

Human wellbeing guidelines grow throughout North America.

06/19/2015

Larger, private buildings now included in rankings.

06/18/2015

Diversion rates increase nearly 10% in 2013.

06/17/2015
Study shows lack of preparedness, suggests improvements to increase resiliency.
06/15/2015

Surveyed workers feel unsafe, doubt employer readiness for weather events. 

06/12/2015

Better Buildings Challenge improvements demonstrate energy savings.

06/11/2015

New technology provides privacy and sunlight.

06/10/2015

Program will provide best practices, green certification for landscape design.

06/09/2015

Improve recycling up to 20% with an easy switch.

06/08/2015

OSHA and Health Canada to improve hazard communications for worker safety.

06/04/2015

Lighting, building automation retrofits show highest rate of return.

06/03/2015

New OSHA guide to ensure fair treatment, safe working conditions.

Page 1 of 54
FirstPrevious[1]2345678910NextLast

Sponsored Links