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Value of New Construction Slips 1.8% in April According to U.S. Commerce Dept. Data

June 10, 2016
Construction spending during April 2016 was estimated at a seasonally adjusted annual rate of $1,133.9 billion, 1.8% below the revised March estimate of $1,155.1 billion.

The U.S. Department of Commerce said construction spending during April 2016 was estimated at a seasonally adjusted annual rate of $1,133.9 billion, 1.8% below the revised March estimate of $1,155.1 billion. The April figure is 4.5% above the April 2015 estimate of $1,085.0 billion. During the first four months of this year, construction spending amounted to $334.8 billion, 8.7% above the $307.9 billion for the same period in 2015.

Private construction. Spending on private construction was at a seasonally adjusted annual rate of $843.1 billion, 1.5% below the revised March estimate of $855.9 billion. Residential construction was at a seasonally adjusted annual rate of $439.7 billion in April, 1.5% below the revised March estimate of $446.3 billion. Nonresidential construction was at a seasonally adjusted annual rate of $403.5 billion in April, 1.5% below the revised March estimate of $409.6 billion.

The key private construction segments for the electrical market that suffered the largest declines in April included multi-family housing (-3.1%); Commercial (-3.6%); Health-care (-3.6%); and Educational (-2.4%).

Public construction. In April, the estimated seasonally adjusted annual rate of public construction spending was $290.8 billion, 2.8% below the revised March estimate of $299.2 billion. Educational construction was at a seasonally adjusted annual rate of $70.0 billion, 2.5% below the revised March estimate of $71.8 billion. The Commercial (-4.1%) and Transportation  (-3.4%) public construction segments suffered some of the larger declines.