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Volumes of construction steelwork are expected to continue to grow significantly this year and next, with expectations going past the 900t mark for the first time since the financial crash.
Despite volatile prices for over 18 months, consumption of constructional steelwork in 2021 rebounded with a near 17% increase to 803,000 tonnes, according to the independent market research company Construction Markets.
The strong rebound is expected to continue this year with a further 10.5% uplift in demand before settling at 2% growth in 2023 to 905,000 tonnes.
The surge is being stoked by industrial consumption, which will rise 16% to a record 384,000t this year. The outlook for the other key market of office construction remains good rising 14% this year to stabilise at the pre-pandemic level of 103,000 tonnes for the following two years.
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Chief executive of the British Constructional Steelwork Association, David Moore, said: “The key growth sectors for structural steelwork in 2022 are expected to be industrial sheds and office buildings, as demand for industrial and logistics space post-Brexit continues to rise and as employers recognise the value of attractive workspaces to entice staff back into city centres.
“Health, education and power generation sectors are also expected to grow, with promised investment in new hospitals and schools, and the drive to low carbon energy production accelerates to meet COP26 commitments to tackle climate change.
“This forecast shows a complete recovery from the Covid-19 pandemic and further strengthening of supply chains post-Brexit with expansion of the industrial and logistics sectors. It also shows how government spending on hospitals, schools and low carbon energy production will help complete the recovery”, said Dr Moore.”