Click on the image at right to view the Gap Measurement Analysis Chart – Month of April 2007 for the Metals & Minerals Industry.Even though this is a decrease of approximately 19 percent in the number of active projects when compared to 2006, the TIV for 2007 is approaching 2006 figures, and Industrial Info is forecasting that project spending in 2007 based on construction starts will equal or exceed 2006 by the end of the year. This is good news for the industry, due to the fact that 2006 was a banner year for project spending.
Several key Metals & Minerals Industry sectors are showing continuing strong growth in 2007 for project spending. Cement continues its meteoric rise as a number of cement plant expansions and even grassroot plants have started or will start construction this year. See related May 18, 2007 news article - North American Cement Sector Enjoying More Than $8 Billion in Active Projects.
Steel mills continue to spend capital gained from record profits. Consolidation continues in the industry and international players look to gain market share in North American through both acquisitions and new plant construction. ThyssenKrupp, Essar and Mittal are prime examples of steel companies making moves to increase North American market share. Domestic producers like Nucor continue to invest in both increased capacity and new technology to improve market share. For details, see related January 9, 2007 news article -Nucor Starts 2007 with a Bang - Moves Forward with Capital Projects and Acquisitions in North America.
One of the hottest Metals & Minerals Industry sectors for project spending this year is polysilicon manufacturing. This sector is experiencing a major expansion and grassroot construction push in 2007, as a limited number of manufacturers and newcomers add capacity from 2007 through 2010. U.S. manufacturers are looking at doubling capacity during this time period. For details, see related May 10, 2007 news article titled - Polysilicon Manufacturers Developing Close to $3 Billion in New Plant Construction.
Barring a major negative shift in the North American economy, Industrial Info expects this strong project spending trend to continue through 2007 and into 2008.
Detailed information on projects mentioned in this article including contacts, addresses, phone numbers, project scope and schedule can be obtained by subscription from Industrial Info. Contact Member Center at 800-762-3361.
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