INDUSTRY NEWS
Construction forecasts and challenges
With 2024 around the corner , it is time to start discussing the major shifts happening across the sheet metal and HVAC industry as well as the economic climate facing contractors in the New Year . The Sheet Metal and Air Conditioning Contractors ’ National Association ( SMACNA ) is an international trade association representing 3,500 signatory contracting firms with more than 100 chapters throughout the United States , Canada , Australia and Brazil .
Promoting quality and excellence in the sheet metal and air conditioning industry , SMACNA has offices in Chantilly , Virginia , and in Washington , D . C . ( USA ). The technical standards and manuals developed by SMACNA contractors are accepted globally by the construction community . ANSI , the American National Standards Institute , has accredited SMACNA as a standardssetting organisation . SMACNA standards and manuals address all facets of the sheet metal industry , from duct construction and installation to air pollution control , energy recovery and roofing .
Dr . Anirban Basu , Chief Economist for SMACNA .
Dr . Anirban Basu , Chief Economist for SMACNA , has shared his insights and forecasts about the economy and its impact on the construction industry for 2024 :
1 . Growing industry employment . Given the elevated numbers of construction job openings and an abundance of megaprojects set to break ground , industry employment is poised to expand in 2024 .
2 . Growth opportunities in megaprojects . Various metropolitan areas will experience a surge in manufacturing-related megaprojects . These will surge in 2024 across the U . S . because of reshoring in supply chains .
3 . Mixed outlook for contractors . The forthcoming year will present varied challenges and opportunities for contractors . Contractors focusing on public works are poised for a successful year thanks to increased funding from Infrastructure legislation , while those working on residential properties will probably see a shore-up of projects due to a tough real estate market .
4 . Economic themes . The economy ’ s focus on reshoring supply chains will remain prominent , alongside expectations for increased publicly financed construction in 2024 .
Factors to consider
While recent good news on inflation is a tailwind , he also highlighted several risks to look out for in 2024 including :
■ High consumer debt .
■ Geopolitical uncertainty .
■ Stricter credit conditions .
■ The U . S . government ’ s increasing debt burden .
“ On a positive note , bond markets suggest a probable decline in interest rates by mid-2024 . This decrease could benefit by providing better support for project financing and backlog generation ,” he added .
“ For many sheet metal and related contractors , the greatest challenges will continue to take the form of retaining and recruiting talent . Wage pressures will remain apparent economy-wide and in place if the economy slows at some point next year ,” he concluded . n
www
. smacna . org
Don ’ t miss Southern Manufacturing & Electronics
Registration is now open for the Southern Manufacturing & Electronics exhibition 2024 ( 6-8 February 2024 ) which is now an international event . Last year ’ s event attracted 9,144 visitors and 460 exhibitors ( representing 600 companies ).
“ With a record-breaking number of enquiries and interest from overseas companies , the event is set to shine . In early February 2024 , this prestigious showcase of industrial innovation will capture global attention at the Farnborough International Exhibition & Conference Centre in the UK . This new 20,000m ² venue offers modern facilities , easy access and free onsite parking ,” the show organiser , European Trade & Exhibition Services ( ETES ), told ISMR .
The comprehensive annual industrial show is a major platform for new technology in production and inspection equipment , components and subcontract services across a wide spectrum of industries .
Professionals engaged in design , manufacturing and procurement can explore a wide array of equipment including machine tools ; tooling ; workholding ; production hardware ; automation and robotics ; test and measurement equipment ; quality control solutions ; engineering software ; materials supply and other diverse technologies .
In addition , the exhibition showcases a range of more general products and services including oil and coolant supply ; workshop equipment ; dust and fume extraction ; humidity control ; workplace storage systems ; bespoke case and foam manufacture ; injection moulding ; hand tools ; adhesives ; waste removal and recycling ; training ; freight services and financial consultancy .
The event also includes a free technical seminar programme over the three days . Presentations will include advice for small manufacturers looking to improve their relationship with customers ; opportunities for those seeking financial support and tips on how to enhance a sales team ’ s performance . CE and UKCA marking compliance ; sustainable practices in manufacturing ; the importance of brand awareness and creative campaigns ; management skills coaching and digital process management will all come under the spotlight . n
www . industrysouth . co . uk
ISMR December 2023 / January 2024 | ismr . net | 11