National nonresidential construction spending increased 0.3% in September, according to an Associated Builders and Contractors analysis of data published today by the U.S. Census Bureau. On a seasonally adjusted annualized basis, nonresidential spending totaled $1.1 trillion.
Spending was down on a monthly basis in 9 of the 16 nonresidential subcategories. Private nonresidential spending increased 0.1%, while public nonresidential construction spending was up 0.5% in September.
“Nonresidential construction spending increased for the 16th straight month in September,” said ABC Chief Economist Anirban Basu. “While some private categories, including power, commercial and amusement and recreation saw healthy month-over-month increases, publicly financed construction accounted for more than 72% of September’s rise. Given increased federal infrastructure spending and exorbitant financing costs for private construction, that dynamic should remain firmly in place over the coming months.”
“Despite a small decrease in spending in September, manufacturing construction remains the nonresidential sector’s outperformer,” said Basu. “Spending in the category is up 62% over the past year and accounts for nearly 43% of the year-over-year increase in nonresidential construction put in place. With several industrial megaprojects ongoing, spending in the manufacturing segment will remain elevated for several quarters.”
Related Stories
Contractors | Feb 4, 2020
Suffolk diversifies, issues new brand identity
General contractor expands services beyond construction into vertical service lines.
Sponsored | HVAC | Feb 3, 2020
Reliable Building Systems Increase Net Operating Income by Retaining Tenants
Tenants increasingly expect a well-crafted property that feels unique, authentic, and comfortable—with technologically advanced systems and spaces that optimize performance and encourage collaboration and engagement. The following guidance will help owners and property managers keep tenants happy.
Libraries | Jan 23, 2020
Information or community center: The next generation of libraries must be both
Are libraries still relevant in a digital world?
Market Data | Jan 23, 2020
Construction contractor confidence surges into 2020, says ABC
Confidence among U.S. construction industry leaders increased in November 2019 with respect to sales, profit margins, and staffing, according to the Associated Builders and Contractors Construction Confidence Index.
Contractors | Jan 20, 2020
Wellness is for builders, not just for buildings
New research on wellness in the construction sector highlights interventions that could be effective in addressing dehydration, weight management, poor air quality, and stress.
Green | Jan 10, 2020
How the new EC3 tool raises the bar on collective action
Nearly 50 AEC industry organizations partnered to develop the groundbreaking Embodied Carbon in Construction Calculator.
Sponsored | HVAC | Jan 6, 2020
Maximize Energy Efficiency in Class A Office Buildings With Modern Building Systems
Energy-efficient building design starts with the building envelope, but the building systems have a tremendous impact on energy use as well.
Contractors | Dec 30, 2019
Pepper Construction Group CEO J. David Pepper, 59, passes away
Pepper was a long-time leader of one of the largest Midwest general contractors who lived his life in service to others.
| Dec 18, 2019
Reconsidering construction robotics
After decades when experts predicted that robots would become more prevalent on construction sites, it would appear that the industry has finally reached that point where necessity, aspiration, and investment are colliding.