Construction Stats

A selection of data reflecting trends in the Canadian construction industry

ICI CONSTRUCTION INVESTMENT ENDS 2021 ON A HIGH

Investment in building construction increased by almost two per cent in December, to $18.4 billion. Gains were reported in both the residential and non-residential sectors, with the Industrial, Commercial, Institutional (ICI) basket posting its sixth straight monthly increase.

Commercial construction represented most of the ICI gains, rising to $2.7 billion, a jump of 1.7 per cent. Posting a similar percentage gain, the industrial sector increased to $842 million. Institutional construction could not keep pace, however, posting that segment’s first decline since late 2020. Eight provinces reported decreases. On the quarter, non-residential spending on ICI projects had its best three-month period in four years. Jumping just over four per cent, it reached $14.7 billion, representing the largest quarterly increase since the third quarter of 2017. Including gains in residential, the total value of investment in building construction increased by 1.8 per cent to $54.2 billion in the fourth quarter. Those results helped push building construction investments to record results in 2021, jumping 19.3 per cent to $218.2 billion.

Investment in building construction, December 2021 (in $Millions)

Canada 13,432.8 Newfoundland and Labrador 70.8 Prince Edward Island 63.3 Nova Scotia 373.7 New Brunswick 180.7 Quebec 2,900.6 Ontario 5,840.4 Manitoba 438.1 Saskatchewan 246.5 Alberta 1,277.3 British Columbia 2,007 Yukon 19.9 Northwest Territories 11.8 Nunavut 2.7

SOURCE: STATISTICS CANADA

INFRASTRUCTURE SPENDING CONTINUES TO RISE

Expectations of record-high capital investments by the public sector, along with strong increases in the private sector, will pace capital expenditures on non-residential construction and machinery and equipment to a rise of almost nine per cent in 2022, says Statistics Canada. The government agency anticipates seeing investment hit the $298.2-billion mark in 2022; a strong follow-up to the 10.4 per cent increase experienced in 2021. Public sector investment is expected to account for $116.8 billion of that figure, with the private sector anticipated to land at $181.4 billion, just shy of 2019 figures.

$298.2-billion 2.7 per cent

BUILDING CONSTRUCTION PRICE INDEXES RISE

Construction costs were up in the fourth quarter of 2021. The residential building sector experienced an increase of 3.8 per cent, while the non-residential segment saw costs rise 2.7 per cent, a slight deceleration from the previous quarter. Costs to construct residential buildings increased the most in Montreal, followed by Toronto and Vancouver. Non-residential building construction costs rose the most in Ottawa, Toronto, and Edmonton.

Wood, plastics and composites continued to be the largest contributors to the price increases in residential building construction. Increases in the costs to construct non-residential buildings was mostly driven by a rise in prices for metal fabrication products and concrete elements, including steel reinforcement. Contractors mainly attributed the higher costs to rising labour costs resulting from skilled labour shortages and rises in the price of steel products, which was impacted by supply constraints.