North American project spending is up 26 percent for 2006, according to a recently released report by Industrial Info Resources.
In measuring the amount of active projects scheduled for construction in 2006, the North American market is up $42.98 billion over last year. Industrial Manufacturing marked an increase of 18 percent, while Petroleum Refining marked a 35 percent loss.
The Project Spending Index is a monthly indicator that compares the current active spending rates to the previous year to obtain a growth measurement or contraction in the industrial market. The index provides spending details by industry and market region including updates monthly that measure the rate of activity from 2005 to 2006 during the same period.
The Spending Gap Index measures the amount of fallout occurring in each industry segment. After six months of adjustments, $97.39 billion in project spending activity, based on total investment value, has been cancelled, delayed or put on hold. When compared to 2005, there is $16 billion less project fallout this year, indicating a favorable market and robust spending. Industrial Manufacturing did not perform as well, marking a loss of 189 percent.