The total construction expenditure fell during the fourth consecutive month in May, according to data published by the United States Census Office. Since April, spending fell 0.3%, while the year -on -year fall reached 3.5%.
“Uncertainty about rates, tax rates and employment availability are difficulties for many developers risking to advance with planned construction projects,” said Ken Simonson, an economist in none of the General Associated Contractors of America (AGC), in a statement. “Although public sector demand is still solid, it is not enough to compensate for private sector shots in activity.”
The annual fall was the largest fall since 2019. Residential spending fell 6.5% year -on -year, while non -residential spending dropped by 1.1% in the same period of time. Monthly, spending in the residential and non -resident sectors fell by 0.5% and 0.2%, respectively.
Anirban Basu, an economist in chief of builders and associated contractors (ABC), hopes that the tendency will continue in the rest of 2025. ” Given the numerous heads at stake, including the high interest rates, the standards of tight loans, the high uncertainties and the effects of immigration policy and trade on the costs of work and materials, the spending can fight for the second half of the mid -half. The year, “said Basu to the statement.
