Falls Management Institute (FMI) has released its 2024 North American Engineering and Construction Overview for comprehensive construction activity forecasts across sectors and regions in the United States and Canada.
The report itself is under copyright, however sources promoting the book report that while engineering and construction spending is expected to end 2024 up five percent, not all sectors will be the same. Those in the multifamily and commercial sectors face a tougher outlook, while manufacturing, lodging, and highway and street look poised for double-digit growth.
According to FMI, understanding the underlying drivers and nuances of contracting markets, sectors and geographies will help firm managers and owners best position their companies to take advantage of opportunities and be prepared for challenges.
Key takeaways from the report include:
- Continued strong investment growth across manufacturing, lodging, public safety, highway and street, transportation, and sewage and waste disposal. Each of these segments are forecast to end the year with growth 10 percent or higher over 2023 levels.
- Many segments are expected to end 2023 with growth rates between five percent and 10 percent. These segments include health care, educational, religious, amusement and recreation, communication, power, water supply, and conservation and development.
- Single-family residential, the largest segment in the industry, is expected to stabilize from the large 14 percent drop in 2023 and see more investment in 2025. Conversely, multifamily residential investment is expected to recede somewhat over the next several years.