2014 Construction Machinery Forecast

by Frank Manfredi On Jan 6, 2014

The current construction machinery industry is good, not great, and is layered with exceptions. Construction Equipment Distribution, the magazine published by the Associated Equipment Distributors (AED), had a cover story entitled “The Do-It-Yourself Recovery.” The point of the article was that everyone has given up looking for the U.S. government to bail them out and stimulate the economy. There has been a lot of rhetoric in Washington, but no action.

Companies involved in the construction segment of the economy have right-sized their businesses — usually by shrinking them — in order to survive. Balance sheets are now in good shape. Equipment fleets have been culled. Key employees were retained in anticipation of the recovery.

There are now stories in the financial and trade press of trade labor shortages slowing down projects. Construction employment is beginning to approach 6 million workers. Employment is an important measure of construction activity. It’s a sure sign that construction-related markets are starting to rebound. I expect construction employment to reach 6 million people by the first half of 2014.

Read More:http://www.forconstructionpros.com/article/11271548/2014-construction-forecast-and-equipment-acquisition-trends

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