Demand for Construction Materials Dips

Words: Bronzella Cleveland, P.E User, Norm Cooper

JanuaryFebruary 2009
Industry News

Demand for Construction Materials Dips

According to a recent report from Reed Construction Data, the declining economy continues to leave its mark on the construction industry, with demand for construction materials seeing a 6.5-percent volume decline at the end of 2008. The Jan. 13 report indicates that the dip is “consistent with the layoff of 82,000 construction workers in November and the 3.2-percent fall in the industrial production index for construction materials and supplies in the same month.”

“U.S. construction materials suppliers in November experienced a 3.6-percent monthly decline in orders, a 1.3-percent decrease in unfilled orders and increased their inventory 3.1-percent when they were trying to cut inventory,” the report continues. As a result, supplier inventory/sales ratio jumped from 1.43 to 1.47, equivalent to an extra day of inventory.

The report concludes that construction activity undoubtedly continued to decline in December (figures were not yet available), although the decline should begin to taper in the second half of 2009. The report states that the decline in November was spurred by the credit market collapse, and that materials suppliers will remain in “crisis mode” for more than a few months, while they try to cut production and discard excess inventory. MD

Echelon Masonry Introduces Ashton Brick, Its Latest Line of Artisan Masonry Veneers
April 2025

Echelon Masonry, North America’s leader in architectural masonry products and materials, announces the availability of its newest product line of artisan masonry veneers, Ashton Brick, in select states. Combining a classic brick aesthetic with durable con

MCAA Showcases Innovation at North Florida Masonry Showcase
April 2025

On Friday, April 11th, we had the pleasure of representing the Mason Contractors Association of America and our Outreach and Education Division at the North Florida Masonry Showcase. This event welcomed 15 high school students who demonstrated their growi

Thank You For Bidding In The 2025 Online Auction
April 2025

The MCAA extends a huge thank you to everyone who bid in this year’s online auction. With hundreds of bids on over 150 items, this year’s auction was another huge success. We also want to thank all of our amazing donors who put items up for auction. Wit

Preparing Masonry Jobsites for Summer Weather
April 2025

Spring is in the air, and summer is right around the corner. With that in mind, it’s time for all of us in the masonry industry to start preparing for warmer weather. It is very important that we consider the risks associated with working in the summer he