As much as we all want to put 2021 in the rear view mirror, the supply chain and labor issues initiated by the COVID-19 pandemic are expected to persist into 2022. Manufacturers, along with many other industry contributors, were hoping to see a decrease in supply chain disruptions, but as 2022 begins, experts anticipate to face sourcing issues well into the year.
And while the recently passed infrastructure package should help generate new construction activity, obtaining sourcing materials and equipment may prove challenging, at least in the first half of the year.
"Construction starts should show notable improvement in 2022, fed by the strengthening economy, the numerous projects in the planning pipeline and the recently enacted infrastructure program," says Richard Branch, chief economist, Dodge Construction Network (Dodge). "This optimism, however, will be countered by continued high material prices, shortages of key materials and an acute shortage of skilled labor."
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In terms of labor, Gen X, which has been the bedrock of the skilled labor workforce, retired in record numbers during the pandemic. As of now, the industry has not developed a talent base to replace those who have exited, which will prove to be an ongoing challenge.
To understand how these and other factors will impact the construction industry in 2022, Equipment Today has developed an official report that outlines what several leading industry economists are expecting. Download this FREE whitepaper, 2022 State of the Construction Industry: Official Report, and discover the threats and opportunities that are forecasted to impact the future of the construction industry.
