Supercharging Industrial Construction

The rate of construction spending on U.S. manufacturing facilities has reached its highest point this millennium, as corporations increasingly see the benefits of shifting their factories closer to home.

The increased discussion of onshoring has translated into a measurable boost for the U.S. manufacturing industry. That has led to $94.3B in annual manufacturing construction spending this year, according to data from the U.S. Census Bureau. That total is the highest since at least 2002. The bureau’s latest report notes that the value of manufacturing construction put in place in May is up 26.3% from May 2021.

Over the last year, construction on new manufacturing facilities has increased by 116%, far outpacing the overall 10% increase for all construction projects, according to Dodge Construction Network data reported by Bloomberg.