FMI U.S. Construction Outlook Second Quarter 2018 Report

June 15, 2018

Spending growth in 2018 is forecast to be led by select nonresidential and residential segments. Current top-three-performing segments forecast in 2018 include transportation (+10 percent), residential improvements (+9 percent) and office (+9 percent). The bottom-three-performing segments include power (-1 percent), sewage and waste disposal (+1 percent), and religious (+2 percent). Second quarter adjustments indicate several additional stabilizing segments. Newly stabilized segments include commercial and health care, two prior growth segments from Q1; also religious; sewage and waste disposal; and water supply construction; all three of which were previously forecast as down last quarter. Lastly, power was moved from stable to down, and conservation and development was elevated from down to growth, based on reported actuals through Q1.

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