For the U.S. construction industry, 2022 brought skyrocketing inflation and interest rates, but contractors remained optimistic despite rocky economic conditions.
Inflation climbed to a 40-year high in June, fueled by ongoing supply chain issues resulting from a variety of factors, including pandemic fallout and Russia's invasion of Ukraine. In response, prices rose on key construction materials such as cement, diesel and asphalt. The industry also continued to struggle with a tight labor market, making it difficult to attract enough workers.
On the positive side of things, the construction backlog remained strong—although that number went negative in October for the first time in more than a year.
With 2023 in full swing, everyone wants to know what to expect for this year. Construction economists say much like in 2022, signals are mixed.
For a look at five key indicators and what they suggest for contractors in the year ahead, check out Construction Dive's full article.