Reports that coronavirus will cause a slowdown in new home construction could have a severe impact on a number of construction-related industries across the US. In addition to the economic disruption caused by the temporary layoff of the thousands of employees who erect America’s homes, a steep decline in home building would also affect such industries as:
- lumber mills that supply the wood products intensively used in home construction across the US
- plants that supply prefabricated components – such as roof trusses and wall panels – that are increasingly being used to speed up construction
- fastener manufacturers, many of whom were buffeted by the imposition of tariffs on metal imported from China, when they often used to make nails, screws, bolts, and other fasteners
- producers of the many items need to finish a home: roofing, siding, flooring, plumbing products, drywall, cabinets, countertops, and wiring
- landscapers and garden supply firms that provide and lay down the lawns and outdoor spaces cherished by homeowners
- concrete suppliers who pour the foundations and slabs on which homes are erected
For more information about these industries, see The Freedonia Group’s coverage of the Building and Construction Industries.