Infrastructure

US construction spending moves up in September

Written by David Schollaert

November 5, 2024

Construction spending in the US picked up in September and maintained a notable year-over-year (y/y) rise.

The US Census Bureau estimated construction spending to be $2,148.8 billion in September on a seasonally adjusted annual rate (SAAR). While just 0.1% above August’s revised spending rate, it was 4.6% higher than spending in September 2023.

Residential construction outlays, at $925.4 billion in September, were off 0.2% month on month (m/m) but were 4.2% higher y/y.

September spending on nonresidential construction projects saw similar dynamics — up 0.1% m/m to $1.223.4 trillion and 4.9% higher y/y.

Within the non-res category, spending was highest in the public sector — up 0.4% in September — which drove momentum, while private nonresidential dipped by 0.1%, according to the Census report.

Spending rose across most infrastructure segments. Highway and street construction spending hit $141.95 billion in September, up 1.5% y/y, while expenditures on transportation projects hit $70.13 billion, a 7.2% gain y/y.

Census figures show a notable rise in total construction spending in recent years (see Figure 1). Spending on residential projects has more or less leveled out over the past year after peaking in 2022. At the same time, spending on nonresidential projects has continued to move higher in recent years.

David Schollaert

David Schollaert is a senior analyst for Steel Market Update. David joined SMU after more than a decade in the metals and mining industry in a myriad of different roles. Much of his early experience and expertise were within the coverage and analysis of steel-making raw materials and served previously as senior editor of the CRU Prices Service. Most recently, however, before his return to market analysis, David held roles as a metals buyer and an operations manager for raw material suppliers. Based in CRU’s Pittsburgh office, David can be reached at david@steelmarketupdate.com or 724-720-1008.

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