The headline results for the State of Trade survey continued to signal signs of improvement for construction product manufacturing in the third quarter of 2024.

Compared to Q2, product sales volumes increased for both heavy side and light side firms, on balance, for 55% of the heavy side and 8% on the light side. Comparing sales volumes with the same period of a year earlier, 27% of heavy side manufacturers still reported a fall, whilst a balance of only 8% reported an increase on the light side.

These dynamics mirror those reported in official ONS construction output data, with monthly and quarterly increases in activity over Summer, but activity still lower than a year ago.

Key survey findings include:

• 55% of heavy side firms and 8% of light side firms reported that sales rose in 2024 Q3
• However, sales were lower on an annual basis for 27% of heavy side firms
• 80% of heavy side manufacturers and 50% of those on the light side expect sales to increase over the next 12 months.
• Capacity utilisation for the heavy side was lower than 80% for the first time in the survey
• Wages & salaries, fuel, energy and raw materials costs led input price inflation.

I'm interested in:

• Construction Products Association
• CPA