The 12 countries that constitute South America have a combined construction market of $90 to $100 billion in 2024. Many South America countries have received to 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 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 in a state of flux. Construction related inflation / escalation inflation in Brazil is running close to 4.2% to 4.8%, which is a big improvement compared to 12 months back.

Argentina is experiencing a major improvement to the construction inflation rate which is now in the 15% and 25% range, this improvement is the result of a newly elected Government.

Reports from Venezuela that inflation is more than 100%. Chile & Colombia are both experiencing reasonably high inflation rates as we move into the 4th Q of 2024 and 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, Dominic Republic and Jamaica are challenged by high unemployment levels, inflation and rising costs of construction related materials.