Navigating through this unprecedented economic landscape, it is crucial to reassess our forecasts in light of the most recent data. In our latest trends report, we examine the progress of 2023 to date and compare it to our initial forecasts outlined in the March edition of the 2023 Construction Outlook. We conclude by presenting an updated set of projections, considering midyear data specific to the U.S.
This report focuses on how 2023 has unfolded thus far and how it aligns with our original forecasts from the 2023 Construction Outlook published in March, ending with an updated set of projections for the end of the year.
4 key takeaways:
- Industry Health: financing constraints have driven a rapid decline in construction starts over the last quarter
- Labor: significant challenges has led firms to place a premium on talent retention strategies
- Materials: materials and supply chain issues have largely stabilized, future cost increases are expected to be manageable
- Total Costs: firms’ responses to the impending slowdown have led to a drop in total costs during Q3, prompting us to revise our expected total cost growth down to 2-4%