Just over a year ago we published a blog topic from the 2008 CONEXPO/CON-AGG trade show. The construction industry had shown signs of decline, but record attendance at the show and a sense of optimism among attendees gave us hope that investment in the nation’s infrastructure and other related sectors would offer some respite from the ongoing housing crisis.
Undoubtedly, it has been a rough year since that show. Construction industry giants like Caterpillar and Oshkosh Corporation have laid off thousands of workers. Construction on many active projects has slowed or even stopped. Cities and villages that rely on tax revenues from new construction projects are struggling to fund services. Even construction magazines that rely on advertising revenues from construction companies like Caterpillar and Oshkosh have begun closing their doors.
Very few sectors of the economy have been immune to the ripple effects of the downturn in the construction industry.
But, there has to be a bottom, and the question is, have we hit it? There are some encouraging signs — higher than expected consumer confidence numbers and the initiation of some infrastructure projects funded through the economic recovery program. However, there are also many discouraging signs — continually increasing unemployment numbers, difficulty obtaining credit and more.
What is your take? Do you think the construction industry has hit bottom, or is the worst yet to come? Is there anything that can be done to improve the condition of the construction industry? Share your thoughts by posting a comment below.
