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Tuesday, September 2, 2025

US Construction Spending Shrinks for 9th Month

US Construction Spending Shrinks for 9th Month

US Construction Spending Shrinks for 9th Month

Construction spending in the United States experienced a slight decline of 0.1% month-over-month in July 2025, bringing it to a seasonally adjusted annual rate of $2,139.1 billion. This drop aligns with expectations and signifies the ninth consecutive month of reduced spending. In the private sector, spending decreased by 0.2%. The nonresidential segment fell by 0.5%, with amusement and recreation buildings suffering the most significant decrease at 1%. In contrast, residential construction saw a modest increase of 0.1%. Public sector spending, however, increased by 0.3%, primarily due to a 1.8% rise in the residential component. Additionally, the nonresidential sector saw a 0.3% increase, bolstered by growth in conservation and development projects (+1.8%) and power projects (+1.7%). On an annual basis, construction spending declined by 2.8% in July.


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