Industrial laser light

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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