Industrial/Commercial Construction Cost Data

GLOBAL CONSTRUCTION NEWSLETTER

Q4 2023

The Global Construction Industry is resilient and forecast to reach $11 trillion by the year’s end in 2023 and to possibly hit $13 trillion by 2026! However, difficult conditions remain in place, the global construction industry will continue limping through the remainder of 2023. Increased construction costs, borrowing costs and increasing energy prices will continue to rise for the next 3 to 6 months.

As we transition into the 4^th Q of 2023 we find the global construction industry remains vulnerable to the challenges presented by energy price spikes, high inflation rates, material & labor shortages and supply chain interruptions.

The continuing war in Ukraine remains a serious problem that unfortunately could drag other countries into the conflict. The chances of a full blown global recession /economic downturn remains reasonably high as we move towards the first half of 2024.

On the positive side, the Global Construction sector is showing some signs of growth and is (for the most part) positioned for a recovery from the last 2 to 3 lackluster COVID years. The intensifying rivalry between the USA and China looks like it is a permanent challenge to the global economy and construction sector.