flexiblefullpage
billboard
interstitial1
catfish1
Currently Reading

ABC’s Construction Backlog Indicator rebounds in August

Market Data

ABC’s Construction Backlog Indicator rebounds in August

The primary issue for most contractors is not a lack of demand, but an ongoing and worsening shortage of skilled workers available to meet contractual requirements.


By ABC | October 23, 2019

Associated Builders and Contractors reported today that its Construction Backlog Indicator climbed to nine months in August 2019, up 0.5 months or 5.4% from July 2019, when CBI stood at 8.5 months.

“Despite some other leading indicators suggesting weakening in nonresidential construction spending, our most recent backlog readings show that contractors are still experiencing significant demand for construction services” said ABC Chief Economist Anirban Basu. “The primary issue for most contractors is not a lack of demand, but an ongoing and worsening shortage of skilled workers available to meet contractual requirements. 

“Though this month’s report was generally positive, softening activity in the nation’s manufacturing sector is becoming more apparent in construction data,” said Basu. “Specifically, backlog in the heavy industrial category slipped to 7.7 months in August, a decline of 12%. A number of key manufacturing indicators have been weakening of late, including capacity utilization and the Institute for Supply Management’s index for manufacturing. It appears that the slowdown in factory activity is now being reflected in construction spending data.

“By contrast, backlog for those involved in heavy highway projects or other forms of infrastructure reached 10.4 months, an increase of nearly 13%,” said Basu. “The implication is that state and local governments are leveraging stronger fiscal positions and lower borrowing costs to move forward with more infrastructure projects. Not only is this a source of strength for the U.S. economy, it is helping to support overall nonresidential construction spending. Growing contractual volume in the infrastructure category helped to push backlog among Middle States contractors up to 8.8 months, a 1.8-month gain. Overall, backlog continues to be lengthiest in the South and West.” 

 

 

Related Stories

Market Data | Sep 20, 2021

August construction employment lags pre-pandemic peak in 39 states

The coronavirus delta variant and supply problems hold back recovery.

Market Data | Sep 15, 2021

ABC’s Construction Backlog Indicator plummets in August; Contractor Confidence down

ABC’s Construction Confidence Index readings for sales, profit margins and staffing levels all fell modestly in August.

Market Data | Sep 7, 2021

Construction sheds 3,000 jobs in August

Gains are limited to homebuilding as other contractors struggle to fill both craft and salaried positions.

Market Data | Sep 3, 2021

Construction workforce shortages reach pre-pandemic levels

Coronavirus continues to impact projects and disrupt supply chains.

Multifamily Housing | Sep 1, 2021

Top 10 outdoor amenities at multifamily housing developments for 2021

Fire pits, lounge areas, and covered parking are the most common outdoor amenities at multifamily housing developments, according to new research from Multifamily Design+Construction.

Market Data | Sep 1, 2021

Construction spending posts small increase in July

Coronavirus, soaring costs, and supply disruptions threaten to erase further gains.

Market Data | Sep 1, 2021

Bradley Corp. survey finds office workers taking coronavirus precautions

Due to the rise in new strains of the virus, 70% of office workers have implemented a more rigorous handwashing regimen versus 59% of the general population.

Market Data | Aug 31, 2021

Three out of four metro areas add construction jobs from July 2020 to July 2021

COVID, rising costs, and supply chain woes may stall gains.

Market Data | Aug 24, 2021

July construction employment lags pre-pandemic peak in 36 states

Delta variant of coronavirus threatens to hold down further gains.

Market Data | Aug 17, 2021

Demand for design activity continues to expand

The ABI score for July was 54.6.

boombox1
boombox2
native1

More In Category




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