South America

South America is predicted to see minimal / minor GDP growth in the 3rd Q of 2024:

The 12 countries that constitute South America have a combined construction market of $90 to $100 billion in 2024.

Many South American countries have received Government funding / stimulus grants related to new infrastructure projects in the last 12 months. South America’s construction sector remains somewhat stable and will experience minimal growth as we move into the 3rd & 4th Q of 2024.

The Brazilian construction sector is estimated to be a $125 to $145 billion market or close to 6.5% of the country’s GDP. Brazil’s political and economic situation appears to be improving. Construction related inflation / escalation inflation in Brazil is running close to 3.9% to 4.2%, which is a big improvement to 6 months back.

Argentina is experiencing a major improvement to the construction inflation rate which is now in the 15% and 20% range, this improvement is the result of a newly elected Government.

Reports from Venezuela is that inflation is more than 100%! Chile & Colombia are both experiencing reasonably high inflation rates as we move into the 2nd half of 2024. Unfortunately, this will impact construction costs and future construction activity.

Construction related bulk materials and equipment such as copper (wire / pipe), structural steel, rebar, piping (PVC, CS & SS), lumber/ plywood, windows, doors and instrumentation devices are starting to moderate in most counties.

The smaller nations of South / Central America and Caribbean, such as Bolivia, Peru, Paraguay, Ecuador, Panama, Dominican Republic and Jamaica are challenged by high unemployment levels, inflation and rising costs of construction related materials.