Heavy Engineering Construction in the US
The Heavy Engineering Construction industry's performance over the five years to 2018 was mixed, with revenue growing strongly early in the period, but falling in more recent years. Amid general economic volatility during the period, the sources of revenue for several industry projects have reshuffled. For example, as oil-based commodities appreciated in 2013, the private railroad segment of the industry boomed as operators strove to increase freight-rail capacity. Moreover, new investment was precipitated by growth in international trade, which benefited the ports and harbors segment of the industry. Over the five years to 2023, industry performance is expected to remain volatile, declining in line with a deceleration of general construction activity as well as a slowdown in state and local government investment. Despite promises of a large infrastructure stimulus from Washington, the bulk of demand will continue to stem from local and state governments, where investment activity is expected to diminish.
Operators in this industry are primarily engaged in heavy and engineering construction projects, with the exception of highway, street, bridge and airport construction. Work performed includes new work, reconstruction, rehabilitation and repairs. The industry also includes specialty trade contractors, if they are primarily active in activities related to engineering construction projects. Construction projects include waterworks, marine facilitiesdevelopment and open space improvement.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.