A new report released this week by the Global Construction Perspectives forecasts the volume of construction output will grow by 85% to $15.5 trillion worldwide by 2030; with China, US, and India leading the way. In the United States, construction growth is expected to see the largest gains in Southern states because of higher population growth and more pent-up demand.
Related: 2016 Construction Forecast
In the U.S., private and Federal construction projects have seen a recent surge, however actual total construction spending in the U.S. is still down by 10 percent from its high in March of 2006.
At the same time the construction sector’s unemployment rate this year dropped to its lowest level since 2007. Even though construction unemployment numbers will fluctuate seasonally due to weather; long-term unemployment numbers are beginning to stabilize at pre Great Recession numbers.
There are still several factors that could still hamper construction growth. Raising interests rates will be the most watched factor for the next several months and into the new year. When interest rates raise the cost to borrow money for projects increases; thus slowing down financed projects.
Related: Philadelphia Construction
