Construction backlogs decline in Q1
Tina Grady Barbaccia | July 5, 2012
Associated Builders and Contractors (ABC) in mid-May released its Construction Backlog Indicator (CBI) for the first quarter of 2012.
According to the report, “CBI declined 5.4 percent from the previous quarter, dipping from 7.8 months to 7.4 months, but is slightly higher compared to the first quarter of 2011. CBI is a forward-looking economic indicator that measures the amount of construction work under contract to be completed in the future.”
“On the heels of a mixed bag of national economic news, CBI declined for the second quarter in a row,” said ABC Chief Economist Anirban Basu. “The lull in nonresidential construction momentum is not poised to end in the immediate term. The nation’s nonresidential construction activity will remain soft during the summer months, with flat to declining nonresidential construction spending.
“The ongoing instability in the nation’s nonresidential construction industry appears to be related to the period of economic weakness that developed in the broader economy last year, as well as concerns regarding export growth due to recessionary forces in Europe,” Basu said. “The result is that many prospective construction projects were cancelled or postponed.”
MORE FROM eRoadPro Newsletter
- Secret Cold War bunker found inside Brooklyn Bridge (PHOTOS)2273 Views
- Most common work-related deaths for highway and bridge construction workers1272 Views
- Highway users, road builders oppose bill to surrender federal highway authority626 Views
- New use of carbon fiber grid in precast concrete piles597 Views
- DOT loans $950 million to Florida highway project560 Views