This year we decided to add economic coverage of Canada to our annual forecast report, providing you a better overview of the North American market.
Economically, Canada Real GDP is expected to rise by 1.9% in 2018, according to the International Monetary Fund (IMF), with Alberta, British Columbia, and Ontario being the best performing provinces. Unemployment is projected to continue to decrease to 6.8% in 2018, while inflation (CPI) is expected to stay at 2.1%.
Forecast by Segment
For the overall construction sector, we believe Canada will grow 4% in 2018. Non-building construction, which includes infrastructure, public works, and transportation, will be the best performing sector in 2018, with 7% projected growth. After a decline in 2017, there is an effort for added projects in the space fueled by improving commodity prices and government incentives.
Non-residential will also see positive growth as Canada transitions to a more high-tech, service-based economy. We project 6% growth in 2018 with office construction and manufacturing likely leading this segment.
Residential is expected to show stable growth at 2% in 2018 supported by continued population increases, which in the past 10 years, has grown more than the U.S. (1.1% increase per year versus 0.8% increase per year for the U.S. population).
To see more details about what we are forecasting for all of North America, download the full 2018 report.