The Portland Cement Association predicts that portland cement consumption will be down until at least 2010, as the depressed housing market affects consumer spending and commercial construction.

In the long term, though, cement use is expected to grow by 43% to 183-million tonness by 2030, 55-million tonness more than 2005. Highway construction, which accounts for 30% of total annual cement consumption, is expected to add 400,000 new roadway miles by 2030. And if “green” building continues to grow, energy efficient insulated concrete walls could account for 30% of all new homes, up from 7% today. That growth alone could use an additional eight million metric tons of cement.

Source: ENR 

The U.S. Commerce Department reports that construction spending edged up slightly in November, with the steep slump in housing offset by record spending on government and business projects, according to Engineering News Record.

At the same time, a key gauge of manufacturing activity fell in December to the lowest point in almost five years, indicating that the slowdown in housing and a credit crunch are having an impact on the overall economy.

The housing slump is the worst in more than two decades, following five boom years that pushed home sales and prices to record levels. Analysts believe the housing slowdown will last through much of 2008, forcing builders to slash construction plans to reduce a huge backlog of unsold homes.

The impact of the housing slump on the construction industry is cushioned somewhat by strength in government projects and non-residential activity, according to ENR.

Source: Engineering News Record

In April, we reported that a total worldwide ban on incandescent light bulbs could save 470 million tons of CO2, more than half the reductions called for by the Kyoto Treaty.

Today, the U.S. takes action on that concept through an 822-page energy bill that Congress passed and delivered to the White House in a hybrid Toyota Prius, for President Bush’s signature.

The bill bans the famously inefficient incandescent light bulb by 2012 and puts tougher miles-per-gallon rules on new cars.

The American Council for an Energy-Efficient Economy has projected that the bill will reduce energy use by 7 percent and carbon dioxide emissions by 9 percent in 2030. The think tank also estimates that the bill will save consumers and businesses more than $400 billion between now and 2030, “accounting for both energy cost savings and the moderately higher price of energy-efficient products.”

Source: Building Design+Construction

After two consecutive months of decline, the Architecture Billings Index (ABI) has rebounded and is up just over two points compared to its previous mark, according to the American Institute of Architects, which sees the report as an encouraging sign for the construction industry.

The index is a leading economic indicator of construction activity, providing a glimpse into the future of nonresidential construction activity. The typical lag time between architecture billings and construction spending is nine to twelve months.

Regionally, billings growth continued to slow at firms in the Northeast and South. Business conditions fell for two consecutive months in the West for the first time in nearly three years, but billings growth has picked up slightly in the Midwest, continuing to rebound from a late summer slowdown.”

Source:  Building Design+Construction

As you reflect on 2007 and prepare for 2008, you might consider signing up for the Associated General Contractor’s economic forecast. The interactive audio conference will be held on Thursday, December 13, 1 p.m. central standard time.

According to AGC, nonresidential construction held up well in 2007 despite a housing meltdown, credit market turmoil and rising materials costs. Here are some questions to consider for 2008:

• Can the industry keep pace in 2008?
• Will construction be dragged down by those factors and a slowing economy?
• What segments and regions are most vulnerable?

The panel of experts on construction materials and the economy — Ken Simonson, Daryl Delano, and John Cross — will assess the industry’s prospects and take questions from listeners.

The cost for the conference is $149 for AGC members and $229 for non-members.

Registration is at www.agc.org/EconForecast.

Seventy percent of of architects say client demand is driving green building, and owners and developers are demanding greener buildings to reduce operating costs, according to the third annual Green Index. The survey of green building practices by Autodesk, Inc. and the American Institute of Architects looked at the motivations and acceptance of nearly 350 practicing architects in the United States.

According to study results published in Building Design + Management, less than half of architects were incorporating sustainable design practices into their projects five years ago. Today, 90% of architects expect to incorporate some sustainable elements by 2012.

Source: Building Design + Management