The increase in heavy commercial and industrial construction projects in the U.S. is causing problems for plant owners and developers procuring the necessary construction equipment for construction sites, according to Industrial Information Resources (www.industrialinfo.com). This is especially true for fast track projects. One international heavy lifting and transportation services firm, which wishes to remain unnamed, states that it is booking cranes four to five years in advance for project work and is explaining to customers that with the amount of construction taking place, they just don't have the units readily available for fast track construction jobs. Equipment availability can vary from state to state depending on the amount of construction going on in that region. Industrial Info is tracking 608 grassroot industrial plant projects currently under construction in North America. That includes more than $48 billion worth of investment currently under construction in the U.S., and an additional $25 billion in Canada.
With numerous large-scale industrial construction projects underway, shortages of equipment, labor and skills threaten to delay project development. The Great Lakes Region alone has 100 new industrial plants currently under construction.
A recent report published by International Construction stated that global sales of construction equipment grew by 9% in 2005, with North America leading the way with 16% growth in 2005. For example, Caterpillar had equipment sales increase by 22% in 2005 to $22.9 billion, with revenues of $36.3 billion in 2005, a 20% increase from 2004.
Construction Boom Leads To Equipment Shortages
May 10, 2006