Construction spending increased 0.1% in June to $1.55 trillion, the U.S. Census Bureau reported. Compared with June 2020, construction spending increased 8.2%.
As has been the trend over the past year, the overall growth was attributed to the booming residential construction market, where spending increased 1.1% month-over-month in June and 28.8% year-over-year. The nonresidential construction segment continued to fare worse, with spending declining 0.9% month-over-month and 6.6% compared with June 2020.
“The pandemic has created a tale of two construction industries, a residential market where demand continues to surge and a nonresidential market that is struggling to gain traction,” stated Stephen Sandherr, CEO of the Associated General Contractors of America.
Total private construction ticked upward 0.4% compared with May and increased 13.5% year-over-year. Total public construction continued to lag, falling 1.2% since May and 7.5% compared with June 2020.
The full AGC construction spending report can be found here.
