Analysis
Industrials M&A update: Q1 2024
Funds from government initiatives such as the Infrastructure Investment and Jobs Act (IIJA), the IRA Act, and the CHIPS Act are expected to drive construction in key areas like manufacturing, transportation infrastructure, and clean energy infrastructure.
Industrial trends
- Automotive
US auto sales reached an estimated 15.5 million units in 2023, an 11.6% increase from 2022.1 - Engineering and construction
Despite volatile material prices, labor shortages, and high interest rates, the engineering and construction industry is poised for growth in 2024.2
- Distribution, transportation, and logistics
Robust consumer spending and depleting inventory levels are expected to trigger restock manufacturing activity and growth in freight demand throughout the second half of 2024.3
- Metal, plastics, and paper packaging
Consumer concern for health and wellness will affect the market in 2024, with the health care packaging market growing ahead of pharmaceutical consumption.4
- Specialty channels
The American Chemistry Council expects that capital spending for the US chemical industry will remain stagnant before ramping up to a growth rate of 3% to 4% annually in 2025 and 2026.5
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References
1. Shivansh Tiwary, “US new auto sales likely rose in Q3, but UAW strikes may pose speed bump,” Reuters October 3, 2023.
2. Michelle Meisels, “5 trends expected to drive E&C industry growth in 2024,” Construction Business Owner, January 25, 2024.
3. Transportation Insight, “Q4 2023 transportation outlook,” accessed April 8, 2024.
4. Eve Thomas, “Packaging in 2023: Trends that shaped the year,” Packaging Gateway, December 20, 2023.
5. Kristen Kazarian, “The chemical industry today and in the near future,” Powder & Bulk Solids, October 19, 2023.
Previous editions
- Industrials M&A update Q4 2023
- Industrials M&A update Q3 2023
- Industrials M&A update Q2 2023
- Industrials M&A update Q1 2023
- Industrials M&A update Q4 2022
- Industrials M&A update Q3 2022
- Industrials M&A update Q2 2022
- Industrials M&A update Q1 2022
- Industrials M&A update Q4 2021
- Industrials M&A update: Q3 2021
- Industrials M&A update: Q2 2021
- Industrials M&A update: Q1 2021
- Industrials M&A update: Q4 2020
- Industrials M&A update: Q2 2020
- Industrials M&A update: Q1 2020
- Industrials M&A update: Q4 2019
- Industrials M&A update: Q2 2019
- Industrials M&A update: Q1 2019
- Industrials M&A update: Q4 2018
- Industrials M&A update: Q3 2018
- Industrials M&A update: Q2 2018
- Industrials M&A update: Q1 2018
- Industrials M&A update: Q4 2017
- Industrials M&A update: Q3 2017
- Industrials M&A update: Q2 2017
- Industrials M&A update: Q1 2017