Written by Dinan | Jan 23, 2025 1:09:32 AM
Report Highlights
Elements Affecting Specialty Contracting Dynamics and Outlook in Q4 2024 and Beyond
- The Specialty Contracting industry experienced a mixed Q4 due to labor shortages and economic climate. However, trends such as infrastructure investment, supply chain stability, and focus on sustainability will lead to growth in 2025 and beyond.
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- 77% of contractors reported an increased difficulty filling craft positions when compared to 2023. Robust demand in specific sectors are counterbalanced by these workforce shortages as well as higher material costs.
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- Government funding through the Infrastructure Investment and Jobs Act (IIJA) continues to drive growth through infrastructure projects. Highways, bridges, and public transit construction provides a significant, federally-funded opportunity for contractors.
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- Emerging construction activity derived from these federal grants will act as a driver in the coming years as the government increasingly funds infrastructure, energy, and housing projects.
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- As supply chains continue to stabilize, material costs will decrease, and supplier contracts will be renegotiated more favorably for contractors.
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- Increasing emphasis on sustainable construction practices has led to more firms integrating environmentally friendly materials and energy-efficient designs to meet client demands as well as regulatory requirements.
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Learn More
Reach out to Dinan Capital Advisors Managing Director Tom Gerlacher for more report insights.