Construction Spending Slips in February But Remains +10.7% Over Last Year’s Pace

Construction spending during February 2024 was estimated at a seasonally adjusted annual rate of $2,091.5 billion, -0.3% below the revised January estimate of $2,096.9 billion. The U.S. Census Dept. said the February figure is +10.7% above the February 2023 estimate of $1,889.6 billion. During the first two months of this year, construction spending amounted to $298.1 billion, +11.9% above the $266.5 billion for the same period in 2023.

Private construction

Spending on private construction was at a seasonally adjusted annual rate of $1,617.1 billion, virtually unchanged from the revised January estimate of $1,616.8 billion. Residential construction was at a seasonally adjusted annual rate of $901.1 billion in February, +0.7% above the revised January estimate of $894.5 billion. Nonresidential construction was at a seasonally adjusted annual rate of $716 billion in February, -0.9% below the revised January estimate of $722.3 billion.
Private manufacturing, which for well over a year has been the strongest construction segment, dropped -0.6%. but is tracking +31.8% over this time last year. The Computer/electronic/electrical category remained strong with a +44.5% increase over last year.

Public construction

In February, the estimated seasonally adjusted annual rate of public construction spending was $474.4 billion, -1.2% below the revised January estimate of $480.1 billion. Educational construction was at a seasonally adjusted annual rate of $100.5 billion, -1.8% below the revised January estimate of $102.3 billion. Highway construction was at a seasonally adjusted annual rate of $147.3 billion, -1.6% below the revised January estimate of $149.7 billion.