The Associated General Contractors of America (AGCA) reported a national drop in commercial
construction of 71 percent in June compared to May, erasing May's gains of 27 percent from April.
Compared to June 2008, US commercial
construction declined by a less severe 22 percent.
Still, every
construction category declined significantly in June from May, according to the AGCA's figures, which illustrate the continuing weakness of the non-residential
construction sector despite signs that the US economic decline is moderating.
Ken Simonson, the chief economist for the AGCA, commented in a press release, “The worsening state and local fiscal picture, along with continued sluggishness in the private sector, means that nonresidential
construction work will keep shrinking."
Commenting on the US housing
construction market, Mr. Simonson said, "Single-family homebuilders appear finally to have touched bottom. However, the multi-family market remains moribund, with weak demand, excessive supply in many states and no credit availability."