Quebec construction activity expected to remain high
By Adam FreillCommercial Construction Industrial Infrastructure Institutional Residential
Commission de la construction du Québec is predicting a 2023 slowdown compared to 2022, but industry still to be busy.
The Commission de la construction du Québec (CCQ) is expecting a small dip in construction activities in that province in 2023, although the hours to be worked forecast is still expected to breach the 200-million mark. According to figures in its recently released report, by the time New Year’s hits activity in Quebec’s construction industry will have reached a historic peak in 2022, with 210 million hours worked. That, says the organization, is a seven per cent increase over 2021.
Although the report states that a slowdown is expected in 2023, activity will remain high, with CCQ forecasting 202 million hours to be worked next year. The organization attributes this four per cent drop to economic conditions and the completion of major construction projects in the province.
Looking more closely within the report, CCQ indicates that minor slowdowns are expected to hit several sectors. For example, civil engineering and roadwork is expected to continue to be strong in 2023 in terms of roadwork and infrastructure, despite a slowdown of roughly five per cent. Major projects in the industrial sector, including a new Kruger Products pulp-and-paper plant and work aimed at decarbonizing Rio Tinto’s activities in Sorel-Tracy, will keep the sector in a stable situation despite a drop in investments due to the economic slowdown.
And, after a record year, the institutional and commercial sector is expected to experience a three per cent fallback in activity. The gradual rise in interest rates, initiated in March 2022, is cited as the main reason for the dip.
A similar situation is expected in the residential sector, which will be the most affected in 2023. CCQ is forecasting a drop of seven per cent compared to 2022. The organization says this may be a short-term setback, however, as there are still very high needs in terms of housing.
More details are available in the CCQ’s Perspectives 2023, available on the organization’s website.