ECA News

ARTICLE

Date ArticleType
8/7/2018 Industry News
Despite Headwinds, Execs See Market Up Through 2019

The construction market has entered its tenth year of growth, and it seems the near-term outlook continues to be positive. What is surprising is that industry firms continue to see bright prospects throughout the next year, despite perceived headwinds caused by rising materials prices and labor shortages.

The near-term optimism, along with longer-term caution, can be seen in the results of the ENR Construction Industry Confidence Index survey. The CICI fell three points, to 70, in the second quarter. Of the 301 executives of large construction and design firms responding to the survey, most believe market growth will continue at least until mid-2019.

Beyond that, the execs are less optimistic. About 15% think the market will be in decline in 12 to 18 months, while 29% say it still will be in growth mode. But those percentages will reverse in three years, with 35% expecting a market decline and 16% still forecasting growth.

The index is based on responses to surveys by more than 6,000 U.S. firms on ENR's candidate lists of leading general contractors, subcontractors and design firms.
 
Read more from ENR here.