Turkiye’s construction material industrial production increased by 3.3% in January compared to the same period last year.
March results of the Turkish Construction Material Manufacturers Association (Turkiye IMSAD) Monthly Sector Report have been announced.
According to the report evaluating the results for the construction sector and the construction material industry, the production increase in the construction material industry in January was 3.3%.
While there was an increase in 10 sub-sectors of the construction material industry, production decreased in 12 sub-sectors.
While construction material industry production increased by 5.7% last year compared to 2022, many developments were effective in this increase. The most important of these factors was the 7.8% growth of the construction sector after 5 years.
While urban transformation activities, reinforcement works, earthquake and disaster preparedness promises came to the fore in all municipalities before the local elections, urban transformation activities, which are expected to accelerate, are expected to contribute 1.5 points of growth to the construction sector in 2024.
Public construction activities are expected to contribute 1 point to the sector
While the construction of non-residential buildings, public buildings and social facilities continues in the earthquake zone, the construction of 78 thousand houses in the region was completed by the end of March. It is aimed to complete the construction of 122 thousand more houses by the end of the year.
Although the growth in public investments is limited this year, public construction activities with ongoing and new priority projects are expected to contribute 1 point to the growth of the construction sector. In 2024, the private sector is expected to show limited growth in residential and non-residential construction activities due to tightening policies and high interest rates and costs.
According to the report, the employment level in the construction sector is also increasing. Employment, which rose to 1.78 million people in the second half of 2023 and maintained its high level in the last quarter, fell in January 2024 due to seasonality. However, despite this, the employment level remained above the January months of 2023 and 2022.
Source: AA / Prepared by Irem Yildiz