Construction spending increased from January to February and from a year ago, as private residential and public construction grew for the month and private-sector demand increased for the year, according to an analysis by the Associated General Contractors of America.
Construction spending in February totaled $1.192 trillion at a seasonally adjusted annual rate. The February rate was up 0.8 percent from the month before and 3.0 percent from the February 2016 level, the report said.
Private nonresidential construction spending declined 0.3 percent for the month but increased 7.5 percent year-over-year. The largest private nonresidential segment in February was power construction (including oil and gas pipelines), which gained 3.0 percent for the month and 9.4 percent over 12 months.
The next-largest segment, commercial (retail, warehouse and farm) construction, declined 0.8 percent in February but rose 13.6 percent year-over-year. Manufacturing construction fell 1.7 percent for the month and 9.8 percent from a year before. Private office construction spending grew by 0.5 percent for the month and 24.8 percent compared with February 2016.
Public construction spending inched up by 0.6 percent from January to February but declined by 8.0 percent from the February 2016 rate. Highway construction increased by 1.3 percent for the month but is down 5.1 percent year-over-year. Other transportation segments (transit, passenger rail, airports and ports) inched up 0.8 percent for the month but are down 10.4 percent relative to February 2016. Sewage and waste construction expanded by 0.1 percent for the month but plummeted by 27.3 percent for the year. Water supply spending declined 1.5 percent and 15.2 percent, respectively.
