There were early positive signs for construction product manufacturing in the second quarter of 2024. Over the quarter, product sales volumes increased for both heavy side and light side firms, on balance. For the heavy side, this was the first quarterly growth since 2022 Q2 and follows a weather-affected Q1, two years of flatlining GDP growth and a significant reduction in demand from private housing new build and repairs, maintenance and improvement (rm&i).

Key survey findings include:

• 30% of heavy side firms and 13% of light side firms reported that sales rose in 2024 Q2.
• However, sales were lower on an annual basis for 30% of heavy side firms.
• 56% of heavy side manufacturers and 23% of those on the light side expect sales to increase over the next 12 months.
• Demand remains the factor most likely to constrain output in the year ahead, but labour availability is a growing concern.
• Increases in wages & salaries were cited by all firms.

I'm interested in:

• Construction Products Association
• CPA