Trendlines Statewide Monthly Construction Data- May 2025

Alabama Cement Shipments Slip in February
Data recently released by the United States Geological Service showed cement shipments decreased by 12.1% in February 2025 compared to the same period in 2024.
While the drop is concerning, tonnage for February 2024 was the third highest month in 2024, therefore far outside historical February tonnage. Looking to ready mix
yardage, we estimate 492,195 cubic yards were placed during the month. The yardage would represent the third highest volume for February in the last 11 years.

Looking to residential construction data, a recent report by the Alabama Center for Real Estate estimated 5,441 homes have been started in Alabama during the first
four months. This is a 2.1% decrease compared to the first four months of 2024. Borrowing cost remain high with the average 30-year mortgage now sitting at 7.02%.
Until the rates fall, many consumers will be unable to afford a new home. To this point, The NAHB Housing Index fell to 34 for May 2025. This is a 6 point drop from the
40 in April. Anything below a 50 is considered a contracting market. Commercial construction is also facing headwinds according to the Architect Association’s AIA
Billing Index. April’s billing index came in at 43.2. The AIA Billing Index has declined 28 out of the last 31 months.