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Construction value in Mexico up 15.8 percent in April

Monday, 24 June 2024 09:44:06 (GMT+3)   |   San Diego
       

The value of works in the construction industry, the largest consumer of steel in Mexico, registered a nominal increase (without adjustment for inflation) of 15.8 percent in April, year-over-year. With this increase, 38 consecutive months have posted a positive trend and of them 36 times in double digits, according to SteelOrbis analysis of data from the national statistics agency Inegi.

In real terms (seasonally adjusted data), the annual increase was 13.1 percent. In Mexican currency, the value of construction industry works in April was MXN 55.41 billion and with today's peso-dollar exchange rate it was the equivalent of $2.98 billion.

Of the 32 states in the country, the value of construction works grew in 20 states, while it decreased in 13 states.

In April, the five largest construction economies in the Mexican market were Chihuahua with works worth $153 million (5.1 percent of the total), Jalisco with works worth $176 million (5.9 percent of the total), Campeche with $177 million (6.0 percent), Nuevo León with $296 million (9.9 percent) and Quintana Roo with $362 million (12.2 percent of the total). Together they contribute 39.1 percent of the total.

According to the National Chamber of the Iron and Steel Industry (Canacero), the construction industry is the largest consumer of steel in the country.

With 38 months of increase in construction, consumption of rebar decreased 8.5 percent in the January-April period of the current year, consumption of wire decreased 6.6 percent, consumption of wire rod decreased 0.6 percent, consumption of structural profiles decreased 8.0 percent, steel plate consumption decreased 9.3 percent, compared to the same period last year, according to data from Canacero.

In the last four quarters, as of March 2024, the construction industry contributed 6.9 percent of Mexico's total GDP ($1.86 trillion), according to SteelOrbis analysis of data from Mexico's System of National Accounts.


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