Cement shipments to Alabama for the month of March 2019 grew by 5.3% over the same period in 2018. Alabama has now seen three straight months of cement shipment increases compared to the previous year. The 121,605 tons shipped marks the second highest shipment total over the past five years. The total has only been exceeded by the 125,231 tons in October 2018. Alabama has been a hot bed of industrial construction over the past 18 months with Google, Amazon and now Toyota Mazda having built or building facilities.
Residential construction has been showing a weakening trend in 2019 with homebuilder surveys sighting lack of land, labor, and construction cost weighing on the market. The South has fared better than other regions but is still experiencing a contraction. Thirty year fixed mortgages have come back below 4% which should help homebuyers and provide more opportunities.
Ready Mix Yardage Forecast
Utilizing the NRMCA conversation formula for cement used in ready mix production, we estimate 450,303 yards of concrete were placed in the state during March. Nearly all members are reporting they are very busy. Their biggest obstacle right now is lack of drivers.
For any questions about this report, please contact our office.