Private manufacturing construction spending increased 0.9% from October to November 2021, going from $82.48 billion to $83.22 billion, according to the U.S. Census Bureau. The rise represents the strongest pace since October 2015.
Trending higher: Private construction activity in the manufacturing sector has trended higher since hitting a low of $65.92 billion in December 2020, with 22.4% growth year-over-year from $67.99 billion in November 2020.
More increases: Total private nonresidential construction spending went up 0.1% in November, with activity increasing 6.7% in the past 12 months.
- Private construction spending rose 0.6% in November, boosted by the 0.9% increase in private residential construction.
- Private single-family construction edged up 1.2% in November, but highly volatile multifamily construction activity fell 0.3%.
A decrease: Public construction spending dipped 0.2% in November, falling 0.9% year-over-year.
Overall: Total private construction has soared 12.5% since November 2020, with private residential activity having increased by “a very robust” 16.3%, said NAM Chief Economist Chad Moutray.
- “It is more important to focus on the improvement in the single-family segment, especially given affordability, lack of inventory and workforce challenges seen for much of last year,” Moutray said.