In the midst of political and economic uncertainty, U.S. engineering firm leaders expressed newfound optimism in the current status and future potential of primary markets, according to the latest Engineering Business Index (EBI), just released by the American Council of Engineering Companies (ACEC).
The 3rd Quarter 2016 (Q3/2016) EBI was 61.4, up 1.2 points from the Q2/2016 score of 60.2—which was the lowest score since ACEC launched the EBI in January 2014.
EBI is a diffusion index that charts the health of the engineering industry by consolidating senior leadership responses on market and firm performance into a single composite score. Any number above 50 indicates expansion. The Q3/2016 survey of 326 engineering firm leaders was conducted September 15 to October 5.
Market expectations for one year from today among engineering firm leaders rose a healthy 6.2 points to 63.3—the largest quarter-to-quarter increase since the EBI’s inception. The increased optimism for one year from today was reflected in nine of the 11 surveyed market sectors—a drastic turnaround from the Q2/2016 survey, when engineering leaders expected only one of the 11 sectors—energy and power—to improve over the coming year.
Among public markets, transportation was the strongest sector, up 2.1 points to 64.2. Other rising sectors include water/wastewater (up 0.9, to 63.0); healthcare construction (up 0.8, to 55.8), and education facilities (up 3.0, to 55.0).
Only the environmental sector fell, dropping 0.8 points to 54.3. Among private markets, firm leaders were most bullish about the buildings sector, up 4.4 points to 62.9, followed by energy and power (up 0.7, to 60.4), land development (up 1.2, to 60.2), and Industrial/Manufacturing (up 2.8, to 58.2).
For the complete summary of ACEC’s Q3/2016 Engineering Business Index (EBI), go to www.acec.org.
Related Stories
Office Buildings | Feb 3, 2015
Bjarke Ingels' BIG proposes canopied, vertical village for Middle East media company
The tensile canopy shades a relaxation plaza from the desert sun.
Fire-Rated Products | Feb 3, 2015
AIA course: Fire and life safety in large buildings
Earn 1.0 AIA/CES learning units by studying this article and successfully completing the online exam.
Multifamily Housing | Feb 2, 2015
D.C. developer sees apartment project as catalyst for modeling neighborhood after N.Y.'s popular High Line district
It’s no accident that the word “Highline” is in this project’s name. The goal is for the building to be a kind of gateway into the larger redevelopment of the surrounding neighborhood to resemble New York’s City’s trendy downtown Meatpacking District, through which runs a portion the High Line elevated park.
Healthcare Facilities | Feb 1, 2015
7 new factors shaping hospital emergency departments
A new generation of highly efficient emergency care facilities is upping the ante on patient care and convenience while helping to reposition hospital systems within their local markets.
Multifamily Housing | Jan 31, 2015
5 intriguing trends to track in the multifamily housing game
Demand for rental apartments and condos hasn’t been this strong in years, and our experts think the multifamily sector still has legs. But you have to know what developers, tenants, and buyers are looking for to have any hope of succeeding in this fast-changing market sector.
Multifamily Housing | Jan 31, 2015
20% down?!! Survey exposes how thin renters’ wallets are
A survey of more than 25,000 adults found the renters to be more burdened by debt than homeowners and severely short of emergency savings.
Multifamily Housing | Jan 31, 2015
Production builders are still shying away from rental housing
Toll Brothers, Lennar, and Trumark are among a small group of production builders to engage in construction for rental customers.
Energy Efficiency | Jan 28, 2015
An urban wind and solar energy system that may actually work
The system was designed to take advantage of a building's air flow and generate energy even if its in the middle of a city.
Multifamily Housing | Jan 27, 2015
Multifamily construction, focused on rentals, expected to slow in the coming years
New-home purchases, which recovered strongly in 2014, indicate that homeownership might finally be making a comeback.
Office Buildings | Jan 27, 2015
London plans to build Foggo Associates' 'can of ham' building
The much delayed high-rise development at London’s 60-70 St. Mary Axe resembles a can of ham, and the project's architects are embracing the playful sobriquet.
