Lumber Prices Soar as Construction Begins To Recover

摘要

While worries regarding the COVID-19 crisis persist, construction is on the road to recovery, according to analysts. "Construction activity continues to dig itself out of one of the deepest and shortest recessions in U.S. history," says Richard Branch, chief economist at Dodge Data & Analytics. Still, he warns, "it will be a long road back. Through eight months, the value of total construction starts is 14% below 2019." Non-residential starts are down 24% on a year-to-date basis, with declines across the board, according to Dodge data. Branch notes that warehouse construction continues to be the one strong spot, as the popularity of online shopping continues. Non-building construction is down 20% overall, despite growth in the streets and bridges sector. The largest projects that broke ground in recent months include the $1-billion Facebook data center in Gallatin, Tenn.; a $740-million Texas Instruments fabrica- tion facility in Richardson, Texas; and a $1.3-billion wastewater pollution control plant in San Francisco.