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State of Trade Survey reports fifth consecutive quarter of rising sales

The Construction Products Association’s latest State of Trade Survey reports strong growth in sales of construction products in Q2.

Firms are showing increasing signs of optimism going forward and, for the first time in five years, product manufacturers reported increases in levels of capital investment across all areas of their business.

Following on from Q1, both heavy side and light side firms reported increasing cost pressures stemming from wages and salaries.

Whereas lack of demand remains a key concern for light side manufacturers, data from heavy side firms suggests that capacity pressures may be emerging. 


Key points include: 

  • 100 per cent of construction product manufacturing firms, on balance, reported a rise in sales in Q2 compared with the previous year
  • 83 per cent of product manufacturers reported that they anticipate sales rising over the coming year
  • 65 per cent of all product manufacturers reported that they anticipate sales rising by over 5 per cent in the next year
  • Costs continue to rise with 87 per cent of firms reporting a rise in costs primarily due to wages and salary
  • 46 per cent of all product manufacturers reported that costs rose in Q2 compared to a year ago and over 62 per cent reported that costs would rise in 2014
  • Headcount increased compared to a year ago for 70 per cent of heavy side and 82 per cent of light side product manufacturers

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