Heavy engineering (non-building) construction spending held steady in September following a 2.9% advance in August. Year-to-date, heavy engineering spending was also unchanged compared to the same period last year. The heavy construction sector is forecast to hold up well as the outlook for the economy improves, encouraging private sector investment. Environmental regulations will force both local governments and private industry to invest to meet these requirements. The result is that after falling 1.0% this year, construction spending on heavy engineering projects is forecasted to increase 5.8% in 2012 and 5.9% in 2013. The 2012 growth forecast is down 0.8% and the 2013 forecast is down 1.1% from last month as prospects for federal spending on infrastructure have dimmed.
U.S. Heavy Engineering (Non-Building) Construction |
||||||||||||
| Monthly Figures* (latest actual values) |
3-Month Moving Average |
Actual | Forecast | |||||||||
| Jul-11 | Aug-11 | Sep-11 | Jul-11 | Aug-11 | Sep-11 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013 | |
| Transportation | 34.165 | 36.158 | 35.331 | 35.247 | 35.426 | 35.218 | 35.471 | 36.701 | 38.232 | 36.041 | 37.358 | 40.640 |
| Month-over-Month % Change | -5.0% | 5.8% | -2.3% | -1.9% | 0.5% | -0.6% | ||||||
| Year-over-year % Change (NSA) | -12.2% | -4.1% | -11.4% | 11.3% | 3.5% | 4.2% | -5.7% | 3.7% | 8.8% | |||
| Communication | 18.417 | 17.746 | 18.142 | 18.141 | 18.156 | 18.102 | 26.487 | 19.753 | 18.261 | 18.030 | 19.182 | 21.407 |
| 0.6% | -3.6% | 2.2% | 0.5% | 0.1% | -0.3% | |||||||
| -3.7% | -2.8% | 1.0% | -4.0% | -25.4% | -7.6% | -1.3% | 6.4% | 11.6% | ||||
| Power | 88.367 | 90.913 | 90.693 | 87.867 | 89.419 | 89.991 | 81.075 | 88.861 | 78.540 | 86.543 | 91.947 | 91.011 |
| -0.7% | 2.9% | -0.2% | 2.8% | 1.8% | 0.6% | |||||||
| 16.1% | 18.0% | 14.6% | 22.7% | 9.6% | -11.6% | 10.2% | 6.2% | -1.0% | ||||
| Highway | 75.989 | 79.242 | 80.362 | 75.723 | 77.200 | 78.531 | 81.361 | 82.166 | 82.657 | 78.229 | 83.313 | 89.930 |
| -0.5% | 4.3% | 1.4% | 0.5% | 2.0% | 1.7% | |||||||
| -4.4% | -3.3% | -5.7% | 6.1% | 1.0% | 0.6% | -5.4% | 6.5% | 7.9% | ||||
| Water and Sewer | 36.998 | 36.873 | 36.931 | 36.503 | 36.707 | 36.934 | 42.448 | 40.301 | 41.368 | 37.348 | 39.816 | 44.811 |
| 2.1% | -0.3% | 0.2% | 0.6% | 0.6% | 0.6% | |||||||
| -13.4% | -14.5% | -12.5% | 4.4% | -5.1% | 2.6% | -9.7% | 6.6% | 12.5% | ||||
| Conservation & Development | 6.710 | 7.156 | 6.602 | 7.063 | 6.997 | 6.823 | 5.234 | 5.750 | 6.937 | 7.059 | 6.868 | 6.989 |
| -5.8% | 6.6% | -7.7% | -2.7% | -0.9% | -2.5% | |||||||
| -2.0% | 9.4% | -8.9% | -0.5% | 9.9% | 20.6% | 1.8% | -2.7% | 1.8% | ||||
| Total | 260.646 | 268.088 | 268.061 | 260.545 | 263.906 | 265.598 | 272.076 | 273.532 | 265.995 | 263.250 | 278.483 | 294.789 |
| -0.9% | 2.9% | 0.0% | 0.8% | 1.3% | 0.6% | |||||||
| -1.3% | 0.7% | -2.1% | 9.7% | 0.5% | -2.8% | -1.0% | 5.8% | 5.9% | ||||
*Monthly figures are seasonally adjusted at annual rates (SAAR figures). The total includes some miscellaneous buildings. |
||||||||||||
Read more forecasts from Reed Construction Data:
Construction Spending Inches Forward in September
Nonresidential Building Construction Spending Slips in September
Glimmers of Hope? Residential Construction Spending Advances for the Fourth Month in a Row
