Paving Asphalt in Highways and Streets to Reach 13.7 Million Tons in 2021
July 12, 2017 (Investorideas.com Newswire) Demand for paving asphalt used in highways and streets is forecast to advance 3.3% per annum to 13.7 million tons in 2021, aided by increases in government funding and rising highway and street construction activity. Demand for paving asphalt products in these applications is primarily driven by government funding for highway and street construction, which accounts for 97% of nonbuilding paving asphalt demand. These and other trends are presented in Paving Asphalt Market in the US, a new study from The Freedonia Group, a Cleveland-based industry research firm.
Legislation created a favorable funding environment for highway maintenance. In addition, many states are considering legislation to increase fuel excise taxes, which help fund highway projects. In April 2017, California, the nation’s most intensive user of paving asphalt products, approved a tax increase of 12 cents per gallon, which is expected to raise over $5 billion every year for highway projects. More favorable economic conditions will boost overall tax revenues used to fund paving projects; additionally, many legislative bodies will approve direct funding mechanisms -- such as grants or bond issues -- to allocate additional capital for such projects as road construction and highway repair and rehabilitation.
Demand for paving asphalt products in all applications is forecast to advance 3.4% per annum to 21.9 million tons in 2021. Factors driving growth include the passage of the Fixing America’s Surface Transportation (FAST) Act; efforts by state governments to increase infrastructure budgets and fuel taxes; rising highway, street, and other nonbuilding construction activity; and strong gains in nonresidential improvement and repair activity.
Paving Asphalt Market in the US (published 06/2017, 141 pages) is available for $5500 from The Freedonia Group. For further details or to arrange an interview with the analyst, please contact Corinne Gangloff by phone 440.684.9600 or email firstname.lastname@example.org.
Related studies include:
- #3552 Asphalt Market Forecasts (to be published July 2017)
- #3518 Asphalt Shingles Market in the US (May 2017)
About The Freedonia Group, a division of MarketResearch.com
The Freedonia Group is a leading international industrial research company publishing more than 100 studies annually. Since 1985, we have provided research to customers ranging in size from global conglomerates to one-person consulting firms. More than 90% of the industrial companies in the Fortune 500 use Freedonia Group research to help with their strategic planning. Additional Construction & Building Products studies can be purchased atwww.freedoniagroup.com, www.marketresearch.com and www.profound.com.
HomebuilderStocks.com - investing ideas in homebuilder stocks/real estate stocks and industry
Like Homebuilder Stocks? View our Homebuilder Stocks Directory
This news is published on the Investorideas.com Newswire - a global digital news source for investors and business leaders
Disclaimer/Disclosure: Investorideas.com is a digital publisher of third party sourced news, articles and equity research as well as creates original content, including video, interviews and articles. Original content created by investorideas is protected by copyright laws other than syndication rights. Our site does not make recommendations for purchases or sale of stocks, services or products. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. All investment involves risk and possible loss of investment. This site is currently compensated for news publication and distribution, social media and marketing, content creation and more. Contact each company directly regarding content and press release questions. Disclosure is posted for each compensated news release, content published /created if required but otherwise the news was not compensated for and was published for the sole interest of our readers and followers. More disclaimer info: http://www.investorideas.com/About/Disclaimer.asp
Additional info regarding BC Residents and global Investors: Effective September 15 2008 - all BC investors should review all OTC and Pink sheet listed companies for adherence in new disclosure filings and filing appropriate documents with Sedar. Read for more info: http://www.bcsc.bc.ca/release.aspx?id=6894. Global investors must adhere to regulations of each country.