Due to recession that has hit the world markets for almost four to five years, there have been many concerns about the growth of different industries. The metal construction industry had been a cause of concern, as well. However, as far as this industry goes, there will be moderate growth in certain aspects of this industry, which will include both wall construction and roofing. Furthermore, experts have expressed their opinion that the construction for both manufacturing and housing facilities is bound to increase for this year. Therefore, when new houses and new facilities would be built, there would be an increase in demand for metals for roofing and for other construction works.
Comparison to previous year
The previous year had a slow growth, which was actually the lowest in history. However, several experts from the industry have validated upon the fact that this has led to more demand this year, because the last year’s demand had been suppressed. Furthermore, last year’s demand spiked at certain intervals, and then dropped at particular times. Therefore, the demand had been uneven, which put manufacturers in some difficulty. However, this year would see a consistent demand throughout the year. There are some conflicting views upon the level of growth. Some say that it would be moderately high, while others are of the opinion that it might be low, but consistent.
Apart from the industries mentioned above, the demand for metal construction industry would also rise in areas, where there is energy production. This is because the energy boom would create some construction opportunities in the areas, where it is occurring. This includes states, such as Canada, Montana, and North Dakota in United States of America, and in Alberta and Saskatchewan in Canada.
Furthermore, there has been a boom in green building, but the demand for metal construction industry would highly depend upon whether this kind of building would become a part of generic design and construction. The different materials, which would be required for the cost-effective and energy-efficient solutions can be provided by the metal construction industry, which would prove fruitful for the profitability of this industry. In fact, metal is considered one of the greenest materials for construction.
Impediments to Growth
Many people have claimed that the fact that there is a restriction on the access of capital has led to a decrease in the demand for the construction industry. Different experts have conflicting opinions on this particular impediment. Some state that it is true, because the restriction of capital access has led to a decrease in the demand for the products of metal industry. However, leasing has been improving for a few months, as well. There is an optimistic side to this problem, as well. National homebuilders and large developers would not have a problem of restriction of capital. They are able to get capital from sources, other than the bank. Nevertheless, it is an agreed upon fact that the lending would not be as flexible as it was before the Financial Crisis of 2008 hit, so there would be some decrease in the demand for metal construction industry.
Labor or Capital?
Different experts have also talked about the fact that the metal construction industry finds it hard to find highly skilled workers for this particular field. Furthermore, because of the recession, much immigrant labor also left North America, which again affected the employment rate. Additionally, people find the work of this industry quite hard, which is why they do not want to come. So, there would not be much labor for this industry, although there is a demand for labor. The other alternative is technology, which has become a core for almost every industry. Different experts have conflicting views upon the exact area where this would be required. Some say that it would be needed in the factory, where the parts are actually being produced. Others state that it may be needed for making of designs, as well as for the construction process, and to have energy-efficient solutions. Therefore, technology for this industry would definitely see a rise.
10-year future of Metal Industry
Generally, the metal industry, if seen from the year 2013 would have better research and development. There would be an increased focus on green initiatives, so that metal is well-integrated into sustainable and green technologies, such as insulation, as well as solar panels.