Data recently released by the United States Geological Service shows 118,844 tons of cement were shipped to the state during May 2020. The data represents a 8.9% decrease over the same period in 2019. May was the fifth consecutive month the state has lagged behind the 2019 totals.
Looking to ready mix volumes, we estimate 440,079 yards of concrete were placed during May. The state exceeded 400,000 cubic yards for the second consecutive month. Anecdotally, ready mix producers are still busy, but the state has clearly experienced a contraction thanks to the unknown business environment from COVID-19. After five months of data, the state’s ready mix yardage appears to be closely tracking with totals for 2018.
One bright spot in the state is the continued strength in residential construction. Data published by the Alabama Center for Real Estate estimated 5,908 homes began construction during the first five months of 2020. The state is 13.5% ahead of the same period in 2019.
If you have any questions about this report, please contact our office.