Construction Stays Steady in February at $1,844.1 Billion, But Posts +5.2% YOY Growth

Construction spending during Feb. 2023 was estimated at a seasonally adjusted annual rate of $1,844.1 billion, -0.1% below the revised January estimate of $1,845.4 billion. The February figure is +5.2% above the Feb. 2022 estimate of $1,753.1 billion. During the first two months of this year, construction spending amounted to $260.8 billion, +5.9% above the $246.1 billion for the same period in 2022.

Private construction

Spending on private construction was at a seasonally adjusted annual rate of $1,453.2 billion, virtually unchanged from the revised January estimate of $1,453.6 billion, according to the latest data from the U.S. Census Bureau. Residential construction was at a seasonally adjusted annual rate of $852.1 billion in February, -0.6% below the revised January estimate of $857 billion. Nonresidential construction was at a seasonally adjusted annual rate of $601 billion in February, +0.7% percent above the revised January estimate of $596.7 billion.

The year-over-year data stood out in two categories — private office construction and throughout the private manufacturing segment. Office construction was up +0.5% for the month to $83.7 billion and a solid +15.3% year-over-year (YOY). As has been the recent trend, the private manufacturing category again registered double-digit YOY growth in most categories, with the Computer/electronic/electrical up +146% YOY.

Public construction

In February, the estimated seasonally adjusted annual rate of public construction spending was $391 billion, -0.2% below the revised January estimate of $391.8 billion. Educational construction was at a seasonally adjusted annual rate of $84.6 billion, -0.9% below the revised January estimate of $85.4 billion.